PHILIPPINE BIDDING DOCUMENTS

(As Harmonized with Development Partners)

Procurement of

Distribution Cabling and FOC Backbone fromPHI Dormitory to UP Manila Eight (8)­ Storey

Student Dormitory University of the Philippines Manila

Government of the Republic of the PhilippinesFifth Edition August 2016

Preface

These Philippine Bidding Documents (PBDs) for the procurement of Goods throughCompetitive Bidding have been prepared by the Government of the Philippines (GOP) foruse by all branches, agencies, departments, bureaus, offices, or instrumentalities of thegovernment, including government-owned and/or -controlled corporations (GOCCs),government financial institutions (GFIs), state universities and colleges (SUCs), and localgovernment units (LGUs) and autonomous regional government. The procedures andpractices presented in this document have been developed through broad experience, and arefor mandatory1 use in projects that are financed in whole or in part by the GOP or any foreigngovernment/foreign or international financing institution in accordance with the provisions ofthe 2016 Revised Implementing Rules and Regulations (IRR) of Republic Act (RA) 9184.

The Bidding Documents shall clearly and adequately define, among others: (a) theobjectives, scope, and expected outputs and/or results of the proposed contract; (b) theeligibility requirements of bidders, such as track record to be determined by the Head of theProcuring Entity; (c) the expected contract duration, the estimated quantity in the case ofprocurement of goods, delivery schedule and/or time frame; and (d) the obligations, duties,and/or functions of the winning bidder.

In order to simplify the preparation of the Bidding Documents for each procurement,the PBDs groups the provisions that are intended to be used unchanged in Section II.Instructions to Bidders (ITB) and in Section IV. General Conditions of Contract (GCC). Dataand provisions specific to each procurement and contract should be included in Section III.Bid Data Sheet (BDS); Section V. Special Conditions of Contract (SCC); Section VI.Schedule of Requirements; Section VII. , and Section IX. Foreign-Assisted Projects. Theforms to be used are provided in Section VIII. Bidding Forms.

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Unless the Treaty or International or Executive Agreement expressly provides use of foreigngovernment/foreign or international financing institution procurement guidelines.

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Care should be taken to check the relevance of the provisions of the PBDs against therequirements of the specific Goods to be procured. In addition, each section is prepared withnotes intended only as information for the Procuring Entity or the person drafting the BiddingDocuments. They shall not be included in the final documents, except for the notesintroducing Section VIII. Bidding Forms where the information is useful for the Bidder. Thefollowing general directions should be observed when using the documents:

(a) All the documents listed in the Table of Contents are normally required for theprocurement of Goods. However, they should be adapted as necessary to thecircumstances of the particular Project.

(b) Specific details, such as the “name of the Procuring Entity” and “address forbid submission,” should be furnished in the ITB, BDS, and SCC. The finaldocuments should contain neither blank spaces nor options.

(c) This Preface and the footnotes or notes in italics included in the Invitation toBid, BDS, SCC, Schedule of Requirements, and Specifications are not part ofthe text of the final document, although they contain instructions that theProcuring Entity should strictly follow. The Bidding Documents shouldcontain no footnotes except Section VIII. Bidding Forms since these provideimportant guidance to Bidders.

(d) The cover should be modified as required to identify the Bidding Documentsas to the names of the Project, Contract, and Procuring Entity, in addition todate of issue.

(e) If modifications must be made to bidding requirements, they can be presentedin the BDS. Modifications for specific Project or Contract details should beprovided in the SCC as amendments to the Conditions of Contract. For easycompletion, whenever reference has to be made to specific clauses in the BDSor SCC these terms shall be printed in bold type face on Section I. Instructionsto Bidders and Section III. General Conditions of Contract, respectively.

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TABLE OF CONTENTS

SECTION I. INVITATION TO BID 5

SECTION II. INSTRUCTIONS TO BIDDERS 8

SECTION III. BID DATA SHEET 39

SECTION IV. GENERAL CONDITIONS OF CONTRACT 44

SECTION V. SPECIAL CONDITIONS OF CONTRACT 61

SECTION VI. SCHEDULE OF REQUIREMENTS 68

SECTION VII. TECHNICAL SPECIFICATIONS 69

SECTION VIII. BIDDING FORMS 72

SECTION IX. FOREIGN-ASSISTED PROJECTS 83

INVITATION TO SUBMIT QUOTATION

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UNIVERSITY OF THE PHILIPPINES MANILAThe Health Sciences Center

8/F Philippine General HospitalTaft Avenue, Manila

http://www.upm.edu.ph

INVITATION TO SUBMIT QUOTATION

The University of the Philippines Manila, through its Bids and Awards Committee 2 (BAC 2), invitesinterested parties to submit proposals for the following lease contracts:

1.  Name of Contract: Distribution Cabling and FOC Backbone from PHI Dormitory to UP Manila Eight (8)­ Storey Student Dormitory

Location: IMS, UP Manila

Approved Budget for theContract: Five Hundred Seven Thousand Three Hundred Seventy Eight Pesos and

Thirty­eight Centavos. (PhP507,378.38)Contract Duration:  Forty Five (45) calendar days

Deadline of submission of proposal/quotation shall be on  29 January 2019, 1:00 p.m. at the UPManila Internal Audit Office, 8/F, PGH Central Block Building. Opening of proposals shall follow at1:30pm at Board Room, 8/F, PGH Central Block Building.

The   University  of   the   Philippines  Manila   assumes  no   responsibility  whatsoever   to   compensate  oridemnify bidders for any expenses incurred in the preparation of their bids.

For further inquiries regarding the specifications and requirements, please call the Office of BAC 2Secretariat: 567­2362/8141­224 (Melody Jane L. Rojo)

Approved by:

(SGD.)DANILO L. MAGTANONG, DDM, MHPEdChair

NOTED:

(SGD.)ARLENE A. SAMANIEGO, MDVice Chancellor for Administration

Posting at  PhilGEPS, BAC 2 Bulletin Board and UPM website: 22 January 2019

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Section II. Instructions to Bidders

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Notes on the Instructions to Bidders

This Section of the Bidding Documents provides the information necessary for bidders toprepare responsive bids, in accordance with the requirements of the Procuring Entity. It alsoprovides information on bid submission, eligibility check, opening and evaluation of bids,post-qualification and on the award of contract.

This Section also contains provisions that are to be used unchanged. Section III consists ofprovisions that supplement, amend, or specify in detail, information or requirements includedin Section II which are specific to each procurement.

Matters governing performance of the Supplier, payments under the contract, or mattersaffecting the risks, rights, and obligations of the parties under the contract are not normallyincluded in this Section, but rather under Section IV. General Conditions of Contract (GCC),and/or Section V. Special Conditions of Contract (SCC). If duplication of a subject isinevitable in other sections of the document prepared by the Procuring Entity, care must beexercised to avoid contradictions between clauses dealing with the same matter.

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TABLE OF CONTENTS

A. GENERAL........................................................................................................11

1. Scope of Bid.............................................................................................................11

2. Source of Funds........................................................................................................11

3. Corrupt, Fraudulent, Collusive, and Coercive Practices...........................................11

4. Conflict of Interest....................................................................................................12

5. Eligible Bidders........................................................................................................14

6. Bidder’s Responsibilities..........................................................................................15

7. Origin of Goods........................................................................................................17

8. Subcontracts..............................................................................................................17

B. CONTENTS OF BIDDING DOCUMENTS............................................................18

9. Pre-Bid Conference..................................................................................................18

10. Clarification and Amendment of Bidding Documents.............................................18

C. PREPARATION OF BIDS...................................................................................19

11. Language of Bid.......................................................................................................19

12. Documents Comprising the Bid: Eligibility and Technical Components.................19

13. Documents Comprising the Bid: Financial Component...........................................21

14. Alternative Bids........................................................................................................22

15. Bid Prices..................................................................................................................22

16. Bid Currencies..........................................................................................................24

17. Bid Validity...............................................................................................................24

18. Bid Security..............................................................................................................25

19. Format and Signing of Bids......................................................................................27

20. Sealing and Marking of Bids....................................................................................27

D. SUBMISSION AND OPENING OF BIDS..............................................................28

21. Deadline for Submission of Bids..............................................................................28

22. Late Bids...................................................................................................................28

23. Modification and Withdrawal of Bids......................................................................29

24. Opening and Preliminary Examination of Bids........................................................29

E. EVALUATION AND COMPARISON OF BIDS.......................................................31

25. Process to be Confidential........................................................................................31

26. Clarification of Bids.................................................................................................31

27. Domestic Preference.................................................................................................31

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28. Detailed Evaluation and Comparison of Bids..........................................................32

29. Post-Qualification.....................................................................................................33

30. Reservation Clause...................................................................................................34

F. AWARD OF CONTRACT...................................................................................35

31. Contract Award.........................................................................................................35

32. Signing of the Contract.............................................................................................36

33. Performance Security...............................................................................................37

34. Notice to Proceed......................................................................................................38

35. Protest Mechanism…………………………………………………………………37

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1. General

....................1.1. Scope of Bid

....................1.2. The Procuring Entity named in the BDS invites bids forthe supply and delivery of the Goods as described in Section VII. .

....................1.3. The name, identification, and number of lots specific tothis bidding are provided in the BDS. The contracting strategy and basis ofevaluation of lots is described in ITB Clause ....................1.33..

....................1.4. Source of Funds

The Procuring Entity has a budget or has received funds from the Funding Sourcenamed in the BDS, and in the amount indicated in the BDS. It intends to apply part ofthe funds received for the Project, as defined in the BDS, to cover eligible paymentsunder the contract.

....................1.5. Corrupt, Fraudulent, Collusive, andCoercive Practices

....................1.6. Unless otherwise specified in the BDS, the ProcuringEntity as well as the bidders and suppliers shall observe the highest standardof ethics during the procurement and execution of the contract. In pursuanceof this policy, the Procuring Entity:

()a defines, for purposes of this provision, the terms set forth below asfollows:

()i “corrupt practice” means behavior on the part of officials in thepublic or private sectors by which they improperly and unlawfully enrichthemselves, others, or induce others to do so, by misusing the position inwhich they are placed, and includes the offering, giving, receiving, orsoliciting of anything of value to influence the action of any such official inthe procurement process or in contract execution; entering, on behalf of thegovernment, into any contract or transaction manifestly and grosslydisadvantageous to the same, whether or not the public officer profited or willprofit thereby, and similar acts as provided in RA 3019.

()ii “fraudulent practice” means a misrepresentation of facts inorder to influence a procurement process or the execution of a contract to thedetriment of the Procuring Entity, and includes collusive practices amongBidders (prior to or after bid submission) designed to establish bid prices atartificial, non-competitive levels and to deprive the Procuring Entity of thebenefits of free and open competition.

()iii “collusive practices” means a scheme or arrangement betweentwo or more Bidders, with or without the knowledge of the Procuring Entity,designed to establish bid prices at artificial, non-competitive levels.

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()iv “coercive practices” means harming or threatening to harm,directly or indirectly, persons, or their property to influence their participationin a procurement process, or affect the execution of a contract;

()v “obstructive practice” is

(aa) deliberately destroying, falsifying, altering orconcealing of evidence material to an administrativeproceedings or investigation or making false statementsto investigators in order to materially impede anadministrative proceedings or investigation of theProcuring Entity or any foreign government/foreign orinternational financing institution into allegations of acorrupt, fraudulent, coercive or collusive practice;and/or threatening, harassing or intimidating any partyto prevent it from disclosing its knowledge of mattersrelevant to the administrative proceedings orinvestigation or from pursuing such proceedings orinvestigation; or

(bb) acts intended to materially impede the exercise of theinspection and audit rights of the Procuring Entity orany foreign government/foreign or internationalfinancing institution herein.

()b will reject a proposal for award if it determines that the Bidderrecommended for award has engaged in any of the practices mentioned in thisClause for purposes of competing for the contract.

()c Further, the Procuring Entity will seek to impose the maximum civil,administrative, and/or criminal penalties available under applicable laws onindividuals and organizations deemed to be involved in any of the practicesmentioned in ITB Clause ()a.

()d Furthermore, the Funding Source and the Procuring Entity reserve theright to inspect and audit records and accounts of a bidder or supplier in thebidding for and performance of a contract themselves or through independentauditors as reflected in the GCC Clause ....................2.4..

....................1.7. Conflict of Interest

....................1.8. All Bidders found to have conflicting interests shall bedisqualified to participate in the procurement at hand, without prejudice to theimposition of appropriate administrative, civil, and criminal sanctions. ABidder may be considered to have conflicting interests with another Bidder inany of the events described in paragraphs (a) through (c) below and a generalconflict of interest in any of the circumstances set out in paragraphs (d)through (g) below:

()a A Bidder has controlling shareholders in common with another Bidder;

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()b A Bidder receives or has received any direct or indirect subsidy fromany other Bidder;

()c A Bidder has the same legal representative as that of another Bidder forpurposes of this bid;

()d A Bidder has a relationship, directly or through third parties, that putsthem in a position to have access to information about or influence on the bidof another Bidder or influence the decisions of the Procuring Entity regardingthis bidding process;

()e A Bidder submits more than one bid in this bidding process. However,this does not limit the participation of subcontractors in more than one bid;

()f A Bidder who participated as a consultant in the preparation of thedesign or technical specifications of the Goods and related services that are thesubject of the bid; or

()g A Bidder who lends, or temporarily seconds, its personnel to firms ororganizations which are engaged in consulting services for the preparationrelated to procurement for or implementation of the project, if the personnelwould be involved in any capacity on the same project.

()h In accordance with Section 47 of the IRR of RA 9184, all BiddingDocuments shall be accompanied by a sworn affidavit of the Bidder that it isnot related to the Head of the Procuring Entity (HoPE), members of the Bidsand Awards Committee (BAC), members of the Technical Working Group(TWG), members of the BAC Secretariat, the head of the Project ManagementOffice (PMO) or the end-user unit, and the project consultants, byconsanguinity or affinity up to the third civil degree. On the part of theBidder, this Clause shall apply to the following persons:

()i If the Bidder is an individual or a sole proprietorship, to the Bidderhimself;

()j If the Bidder is a partnership, to all its officers and members;

()k If the Bidder is a corporation, to all its officers, directors, andcontrolling stockholders;

()l If the Bidder is a cooperative, to all its officers, directors, andcontrolling shareholders or members; and

()m If the Bidder is a joint venture (JV), the provisions of items (a), (b), (c),or (d) of this Clause shall correspondingly apply to each of the members of thesaid JV, as may be appropriate.

Relationship of the nature described above or failure to comply with thisClause will result in the automatic disqualification of a Bidder.

....................1.9. Eligible Bidders

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....................1.10. Unless otherwise provided in the BDS, the followingpersons shall be eligible to participate in this bidding:

()a Duly licensed Filipino citizens/sole proprietorships;

()b Partnerships duly organized under the laws of the Philippines and ofwhich at least sixty percent (60%) of the interest belongs to citizens of thePhilippines;

()c Corporations duly organized under the laws of the Philippines, and ofwhich at least sixty percent (60%) of the outstanding capital stock belongs tocitizens of the Philippines;

()d Cooperatives duly organized under the laws of the Philippines; and

()e Persons/entities forming themselves into a Joint Venture (JV), i.e., agroup of two (2) or more persons/entities that intend to be jointly and severallyresponsible or liable for a particular contract: Provided, however, that Filipinoownership or interest of the JV concerned shall be at least sixty percent (60%).

()f Foreign bidders may be eligible to participate when any of thefollowing circumstances exist, as specified in the BDS:

()g When a Treaty or International or Executive Agreement as provided inSection 4 of RA 9184 and its IRR allow foreign bidders to participate;

()h Citizens, corporations, or associations of a country, the laws orregulations of which grant reciprocal rights or privileges to citizens,corporations, or associations of the Philippines;

()i When the Goods sought to be procured are not available from localsuppliers; or

()j When there is a need to prevent situations that defeat competition orrestrain trade.

()k Government owned or –controlled corporations (GOCCs) may beeligible to participate only if they can establish that they (a) are legally andfinancially autonomous, (b) operate under commercial law, and (c) are notattached agencies of the Procuring Entity.

()l Unless otherwise provided in the BDS, the Bidder must havecompleted a Single Largest Completed Contract (SLCC) similar to the Projectand the value of which, adjusted, if necessary, by the Bidder to current pricesusing the Philippine Statistics Authority (PSA) consumer price index, must beat least equivalent to a percentage of the ABC stated in the BDS.

For this purpose, contracts similar to the Project shall be those described in theBDS, and completed within the relevant period stated in the Invitation to Bidand ITB Clause 12.1(a)(ii).

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The Bidder must submit a computation of its Net Financial ContractingCapacity (NFCC), which must be at least equal to the ABC to be bid,calculated as follows:

NFCC = [(Current assets minus current liabilities) (15)] minus the value ofall outstanding or uncompleted portions of the projects under ongoingcontracts, including awarded contracts yet to be started, coinciding withthe contract to be bid.

The values of the domestic bidder’s current assets and current liabilities shallbe based on the latest Audited Financial Statements submitted to the BIR.

For purposes of computing the foreign bidders’ NFCC, the value of the currentassets and current liabilities shall be based on their audited financialstatements prepared in accordance with international financial reportingstandards.

If the prospective bidder opts to submit a committed Line of Credit, it must beat least equal to ten percent (10%) of the ABC to be bid. If issued by a foreignuniversal or commercial bank, it shall be confirmed or authenticated by a localuniversal or commercial bank.

....................1.1. Bidder’s Responsibilities

....................1.2. The Bidder or its duly authorized representative shallsubmit a sworn statement in the form prescribed in Section VIII. BiddingForms as required in ITB Clause ....................1.1.()b()iii.

....................1.3. The Bidder is responsible for the following:

()a Having taken steps to carefully examine all of the BiddingDocuments;

()b Having acknowledged all conditions, local or otherwise, affecting theimplementation of the contract;

()c Having made an estimate of the facilities available and needed for thecontract to be bid, if any;

()d Having complied with its responsibility to inquire or secureSupplemental/Bid Bulletin(s) as provided under ITB Clause ....................1.5..

()e Ensuring that it is not “blacklisted” or barred from bidding by the GOPor any of its agencies, offices, corporations, or LGUs, includingforeign government/foreign or international financing institution whoseblacklisting rules have been recognized by the GPPB;

()f Ensuring that each of the documents submitted in satisfaction of thebidding requirements is an authentic copy of the original, complete,and all statements and information provided therein are true andcorrect;

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()g Authorizing the HoPE or its duly authorized representative/s to verifyall the documents submitted;

()h Ensuring that the signatory is the duly authorized representative of theBidder, and granted full power and authority to do, execute andperform any and all acts necessary and/or to represent the Bidder in thebidding, with the duly notarized Secretary’s Certificate attesting tosuch fact, if the Bidder is a corporation, partnership, cooperative, orjoint venture;

()i Complying with the disclosure provision under Section 47 of RA 9184and its IRR in relation to other provisions of RA 3019;

()j Complying with existing labor laws and standards, in the case ofprocurement of services; Moreover, bidder undertakes to:

()i Ensure the entitlement of workers to wages, hours of work,safety and health and other prevailing conditions of work asestablished by national laws, rules and regulations; or collectivebargaining agreement; or arbitration award, if and whenapplicable.

In case there is a finding by the Procuring Entity or the DOLEof underpayment or non-payment of workers’ wage and wage-related benefits, bidder agrees that the performance security orportion of the contract amount shall be withheld in favor of thecomplaining workers pursuant to appropriate provisions ofRepublic Act No. 9184 without prejudice to the institution ofappropriate actions under the Labor Code, as amended, andother social legislations.

()ii Comply with occupational safety and health standards and tocorrect deficiencies, if any.

In case of imminent danger, injury or death of the worker,bidder undertakes to suspend contract implementation pendingclearance to proceed from the DOLE Regional Office and tocomply with Work Stoppage Order; and

()iii Inform the workers of their conditions of work, labor clausesunder the contract specifying wages, hours of work and otherbenefits under prevailing national laws, rules and regulations;or collective bargaining agreement; or arbitration award, if andwhen applicable, through posting in two (2) conspicuous placesin the establishment’s premises; and

()k Ensuring that it did not give or pay, directly or indirectly, anycommission, amount, fee, or any form of consideration, pecuniary or

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otherwise, to any person or official, personnel or representative of thegovernment in relation to any procurement project or activity.

Failure to observe any of the above responsibilities shall be at the risk of theBidder concerned.

The Bidder is expected to examine all instructions, forms, terms, andspecifications in the Bidding Documents.

It shall be the sole responsibility of the Bidder to determine and to satisfy itselfby such means as it considers necessary or desirable as to all matterspertaining to the contract to be bid, including: (a) the location and the natureof this Project; (b) climatic conditions; (c) transportation facilities; and (d)other factors that may affect the cost, duration, and execution orimplementation of this Project.

The Procuring Entity shall not assume any responsibility regarding erroneousinterpretations or conclusions by the prospective or eligible bidder out of thedata furnished by the procuring entity. However, the Procuring Entity shallensure that all information in the Bidding Documents, includingbid/supplemental bid bulletin/s issued, are correct and consistent.

Before submitting their bids, the Bidder is deemed to have become familiarwith all existing laws, decrees, ordinances, acts and regulations of thePhilippines which may affect this Project in any way.

The Bidder shall bear all costs associated with the preparation and submissionof his bid, and the Procuring Entity will in no case be responsible or liable forthose costs, regardless of the conduct or outcome of the bidding process.

The Bidder should note that the Procuring Entity will accept bids only fromthose that have paid the applicable fee for the Bidding Documents at the officeindicated in the Invitation to Bid.

....................1.1. Origin of Goods

Unless otherwise indicated in the BDS, there is no restriction on the origin of goodsother than those prohibited by a decision of the United Nations Security Council takenunder Chapter VII of the Charter of the United Nations, subject to ITB Clause....................1.32..

....................1.2. Subcontracts

....................1.3. Unless otherwise specified in the BDS, the Bidder maysubcontract portions of the Goods to an extent as may be approved by theProcuring Entity and stated in the BDS. However, subcontracting of anyportion shall not relieve the Bidder from any liability or obligation that mayarise from the contract for this Project.

....................1.4. Subcontractors must submit the documentary requirementsunder ITB Clause 12 and comply with the eligibility criteria specified in the

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BDS. In the event that any subcontractor is found by the Procuring Entity tobe ineligible, the subcontracting of such portion of the Goods shall bedisallowed.

....................1.5. The Bidder may identify the subcontractor to whom a portionof the Goods will be subcontracted at any stage of the bidding process orduring contract implementation. If the Bidder opts to disclose the name of thesubcontractor during bid submission, the Bidder shall include the requireddocuments as part of the technical component of its bid.

2. Contents of Bidding Documents

....................1.6. Pre-Bid Conference

....................1.7. (a) If so specified in the BDS, a pre-bid conferenceshall be held at the venue and on the date indicated therein, to clarify andaddress the Bidders’ questions on the technical and financial components ofthis Project.

(b) The pre-bid conference shall be held at least twelve (12) calendar daysbefore the deadline for the submission and receipt of bids, but not earlier thanseven (7) calendar days from the posting of the invitation to bid/biddingdocuments in the PhilGEPS website. If the Procuring Entity determines that,by reason of the method, nature, or complexity of the contract to be bid, orwhen international participation will be more advantageous to the GOP, alonger period for the preparation of bids is necessary, the pre-bid conferenceshall be held at least thirty (30) calendar days before the deadline for thesubmission and receipt of bids, as specified in the BDS.

Bidders are encouraged to attend the pre-bid conference to ensure that theyfully understand the Procuring Entity’s requirements. Non-attendance of theBidder will in no way prejudice its bid; however, the Bidder is expected toknow the changes and/or amendments to the Bidding Documents as recordedin the minutes of the pre-bid conference and the Supplemental/Bid Bulletin.The minutes of the pre-bid conference shall be recorded and prepared not laterthan five (5) calendar days after the pre-bid conference. The minutes shall bemade available to prospective bidders not later than five (5) days upon writtenrequest.

9.3 Decisions of the BAC amending any provision of the bidding documents shallbe issued in writing through a Supplemental/Bid Bulletin at least seven (7)calendar days before the deadline for the submission and receipt of bids.

....................1.1. Clarification and Amendment of BiddingDocuments

....................1.2. Prospective bidders may request for clarification onand/or interpretation of any part of the Bidding Documents. Such request mustbe in writing and submitted to the Procuring Entity at the address indicated in

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the BDS at least ten (10) calendar days before the deadline set for thesubmission and receipt of Bids.

....................1.3. The BAC shall respond to the said request by issuing aSupplemental/Bid Bulletin, to be made available to all those who haveproperly secured the Bidding Documents, at least seven (7) calendar daysbefore the deadline for the submission and receipt of Bids.

....................1.4. Supplemental/Bid Bulletins may also be issued upon theProcuring Entity’s initiative for purposes of clarifying or modifying anyprovision of the Bidding Documents not later than seven (7) calendar daysbefore the deadline for the submission and receipt of Bids. Any modificationto the Bidding Documents shall be identified as an amendment.

....................1.5. Any Supplemental/Bid Bulletin issued by the BAC shallalso be posted in the PhilGEPS and the website of the Procuring Entityconcerned, if available, and at any conspicuous place in the premises of theProcuring Entity concerned. It shall be the responsibility of all Bidders whohave properly secured the Bidding Documents to inquire and secureSupplemental/Bid Bulletins that may be issued by the BAC. However, Bidderswho have submitted bids before the issuance of the Supplemental/Bid Bulletinmust be informed and allowed to modify or withdraw their bids in accordancewith ITB Clause ....................1.15..

3. Preparation of Bids

....................1.6. Language of Bids

The eligibility requirements or statements, the bids, and all other documents to besubmitted to the BAC must be in English. If the eligibility requirements or statements,the bids, and all other documents submitted to the BAC are in foreign language otherthan English, it must be accompanied by a translation of the documents in English.The documents shall be translated by the relevant foreign government agency, theforeign government agency authorized to translate documents, or a registeredtranslator in the foreign bidder’s country; and shall be authenticated by theappropriate Philippine foreign service establishment/post or the equivalent officehaving jurisdiction over the foreign bidder’s affairs in the Philippines. The Englishtranslation shall govern, for purposes of interpretation of the bid.

....................1.7. Documents Comprising the Bid: Eligibilityand Technical Components

....................1.1. Unless otherwise indicated in the BDS, the first envelope shallcontain the following eligibility and technical documents:

()a Eligibility Documents –

Class “A” Documents:

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(i) PhilGEPS Certificate of Registration and Membership inaccordance with Section 8.5.2 of the IRR, except for foreignbidders participating in the procurement by a PhilippineForeign Service Office or Post, which shall submit theireligibility documents under Section 23.1 of the IRR, provided,that the winning bidder shall register with the PhilGEPS inaccordance with section 37.1.4 of the IRR.

(ii) Statement of all its ongoing government and private contracts,including contracts awarded but not yet started, if any, whethersimilar or not similar in nature and complexity to the contractto be bid; and

Statement of the Bidder’s SLCC similar to the contract to bebid, in accordance with ITB Clause 5.4, within the relevantperiod as provided in the BDS.

The two statements required shall indicate for each contract thefollowing:

(ii.1) name of the contract;

(ii.2) date of the contract;

(ii.3) contract duration;

(ii.4) owner’s name and address;

(ii.5) kinds of Goods;

(ii.6) For Statement of Ongoing Contracts - amount ofcontract and value of outstanding contracts;

(ii.7) For Statement of SLCC - amount of completedcontracts, adjusted by the Bidder to current prices usingPSA’s consumer price index, if necessary for thepurpose of meeting the SLCC requirement;

(ii.8) date of delivery; and

(ii.9) end user’s acceptance or official receipt(s) or salesinvoice issued for the contract, if completed, whichshall be attached to the statements.

(iii) NFCC computation in accordance with ITB Clause 5.5 or acommitted Line of Credit from a universal or commercial bank.

Class “B” Document:

(iv) If applicable, the Joint Venture Agreement (JVA) in case thejoint venture is already in existence, or duly notarized

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statements from all the potential joint venture partners inaccordance with Section 23.1(b) of the IRR.

()b Technical Documents –

()i Bid security in accordance with ITB Clause ....................1.15..If the Bidder opts to submit the bid security in the form of:

(....................i.1) a bank draft/guarantee or an irrevocable letter of creditissued by a foreign bank, it shall be accompanied by a confirmation from aUniversal or Commercial Bank; or

(....................i.2) a surety bond, it shall be accompanied by a certificationby the Insurance Commission that the surety or insurance company isauthorized to issue such instruments;

()ii Conformity with technical specifications, as enumerated andspecified in Sections VI and VII of the Bidding Documents; and

()iii Sworn statement in accordance with Section 25.3 of the IRR ofRA 9184 and using the form prescribed in Section VIII. Bidding Forms.

()iv For foreign bidders claiming eligibility by reason of theircountry’s extension of reciprocal rights to Filipinos, a certification from therelevant government office of their country stating that Filipinos are allowedto participate in their government procurement activities for the same item orproduct.

....................1.2. Documents Comprising the Bid: FinancialComponent

....................1.3. Unless otherwise stated in the BDS, the financialcomponent of the bid shall contain the following:

()a Financial Bid Form, which includes bid prices and the applicable PriceSchedules, in accordance with ITB Clauses ....................1.6. and....................1.9.;

()b If the Bidder claims preference as a Domestic Bidder, a certificationfrom the DTI issued in accordance with ITB Clause ....................1.31., unlessotherwise provided in the BDS; and

()c Any other document related to the financial component of the bid asstated in the BDS.

()d (a) Unless otherwise stated in the BDS, all bids that exceed theABC shall not be accepted.

(b) Unless otherwise indicated in the BDS, for foreign-fundedprocurement, a ceiling may be applied to bid prices provided thefollowing conditions are met:

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(i) Bidding Documents are obtainable free of charge on a freelyaccessible website. If payment of Bidding Documents is requiredby the procuring entity, payment could be made upon thesubmission of bids.

(ii) The procuring entity has procedures in place to ensure that theABC is based on recent estimates made by the responsible unit ofthe procuring entity and that the estimates reflect the quality,supervision and risk and inflationary factors, as well as prevailingmarket prices, associated with the types of works or goods to beprocured.

(iii) The procuring entity has trained cost estimators on estimatingprices and analyzing bid variances.

(iv) The procuring entity has established a system to monitor andreport bid prices relative to ABC and engineer’s/procuringentity’s estimate.

(v) The procuring entity has established a monitoring and evaluationsystem for contract implementation to provide a feedback onactual total costs of goods and works.

....................1.4. Alternative Bids

14.1 Alternative Bids shall be rejected. For this purpose, alternative bid is an offermade by a Bidder in addition or as a substitute to its original bid which may beincluded as part of its original bid or submitted separately therewith forpurposes of bidding. A bid with options is considered an alternative bidregardless of whether said bid proposal is contained in a single envelope orsubmitted in two (2) or more separate bid envelopes.

14.2 Each Bidder shall submit only one Bid, either individually or as a partner in aJV. A Bidder who submits or participates in more than one bid (other than as asubcontractor if a subcontractor is permitted to participate in more than onebid) will cause all the proposals with the Bidder’s participation to bedisqualified. This shall be without prejudice to any applicable criminal, civiland administrative penalties that may be imposed upon the persons andentities concerned.

....................1.5. Bid Prices

....................1.6. The Bidder shall complete the appropriate Schedule ofPrices included herein, stating the unit prices, total price per item, the totalamount and the expected countries of origin of the Goods to be supplied underthis Project.

....................1.7. The Bidder shall fill in rates and prices for all items ofthe Goods described in the Schedule of Prices. Bids not addressing orproviding all of the required items in the Bidding Documents including, whereapplicable, Schedule of Prices, shall be considered non-responsive and, thus,

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automatically disqualified. In this regard, where a required item is provided,but no price is indicated, the same shall be considered as non-responsive, butspecifying a zero (0) or a dash (-) for the said item would mean that it is beingoffered for free to the Government, except those required by law orregulations to be accomplished.

....................1.8. The terms Ex Works (EXW), Cost, Insurance andFreight (CIF), Cost and Insurance Paid to (CIP), Delivered Duty Paid (DDP),and other trade terms used to describe the obligations of the parties, shall begoverned by the rules prescribed in the current edition of the InternationalCommercial Terms (INCOTERMS) published by the International Chamber ofCommerce, Paris.

....................1.9. Prices indicated on the Price Schedule shall be enteredseparately in the following manner:

()a For Goods offered from within the Procuring Entity’s country:

()i The price of the Goods quoted EXW (ex works, ex factory, exwarehouse, ex showroom, or off-the-shelf, as applicable);

()ii The cost of all customs duties and sales and other taxes alreadypaid or payable;

()iii The cost of transportation, insurance, and other costs incidentalto delivery of the Goods to their final destination; and

()iv The price of other (incidental) services, if any, listed in theBDS.

()b For Goods offered from abroad:

()i Unless otherwise stated in the BDS, the price of the Goodsshall be quoted DDP with the place of destination in the Philippines asspecified in the BDS. In quoting the price, the Bidder shall be free to usetransportation through carriers registered in any eligible country. Similarly,the Bidder may obtain insurance services from any eligible source country.

()ii The price of other (incidental) services, if any, listed in theBDS.

()c For Services, based on the form which may be prescribed by theProcuring Entity, in accordance with existing laws, rules and regulations

()d Prices quoted by the Bidder shall be fixed during the Bidder’sperformance of the contract and not subject to variation or price escalation onany account. A bid submitted with an adjustable price quotation shall betreated as non-responsive and shall be rejected, pursuant to ITB Clause....................1.20..

All bid prices for the given scope of work in the contract as awarded shall beconsidered as fixed prices, and therefore not subject to price escalation during

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contract implementation, except under extraordinary circumstances. Upon therecommendation of the Procuring Entity, price escalation may be allowed inextraordinary circumstances as may be determined by the National Economicand Development Authority in accordance with the Civil Code of thePhilippines, and upon approval by the GPPB. Nevertheless, in cases where thecost of the awarded contract is affected by any applicable new laws,ordinances, regulations, or other acts of the GOP, promulgated after the date ofbid opening, a contract price adjustment shall be made or appropriate reliefshall be applied on a no loss-no gain basis.

....................1.10. Bid Currencies

....................1.11. Prices shall be quoted in the following currencies:

()a For Goods that the Bidder will supply from within the Philippines, theprices shall be quoted in Philippine Pesos.

()b For Goods that the Bidder will supply from outside the Philippines, theprices may be quoted in the currency(ies) stated in the BDS. However, forpurposes of bid evaluation, bids denominated in foreign currencies shall beconverted to Philippine currency based on the exchange rate as published inthe Bangko Sentral ng Pilipinas (BSP) reference rate bulletin on the day of thebid opening.

()c If so allowed in accordance with ITB Clause ....................1.11., theProcuring Entity for purposes of bid evaluation and comparing the bid priceswill convert the amounts in various currencies in which the bid price isexpressed to Philippine Pesos at the foregoing exchange rates.

()d Unless otherwise specified in the BDS, payment of the contract priceshall be made in Philippine Pesos.

....................1.12. Bid Validity

....................1.13. Bids shall remain valid for the period specified in theBDS which shall not exceed one hundred twenty (120) calendar days from thedate of the opening of bids.

....................1.14. In exceptional circumstances, prior to the expiration ofthe bid validity period, the Procuring Entity may request Bidders to extend theperiod of validity of their bids. The request and the responses shall be made inwriting. The bid security described in ITB Clause 18 should also be extendedcorresponding to the extension of the bid validity period at the least. A Biddermay refuse the request without forfeiting its bid security, but his bid shall nolonger be considered for further evaluation and award. A Bidder granting therequest shall not be required or permitted to modify its bid.

....................1.15. Bid Security

....................1.16. The Bidder shall submit a Bid Securing Declaration orany form of Bid Security in the amount stated in the BDS, which shall be not

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less than the percentage of the ABC in accordance with the followingschedule:

Form of Bid SecurityAmount of Bid Security

(Not Less than the Percentage of theABC)

()a Cash or cashier’s/manager’scheck issued by a Universal orCommercial Bank.

For biddings conducted byLGUs, the Cashier’s/Manager’sCheck may be issued by otherbanks certified by the BSP asauthorized to issue suchfinancial instrument.

Two percent (2%)

()b Bank draft/guarantee orirrevocable letter of credit issuedby a Universal or CommercialBank: Provided, however, that itshall be confirmed orauthenticated by a Universal orCommercial Bank, if issued by aforeign bank.

For biddings conducted byLGUs, Bank Draft/Guarantee,or Irrevocable Letter of Creditmay be issued by other bankscertified by the BSP asauthorized to issue suchfinancial instrument.

()c Surety bond callable upondemand issued by a surety orinsurance company duly certifiedby the Insurance Commission asauthorized to issue such security.

Five percent (5%)

The Bid Securing Declaration mentioned above is an undertaking whichstates, among others, that the Bidder shall enter into contract with theprocuring entity and furnish the performance security required under ITBClause 33.2, within ten (10) calendar days from receipt of the Notice ofAward, and commits to pay the corresponding amount as fine, and besuspended for a period of time from being qualified to participate in anygovernment procurement activity in the event it violates any of the conditionsstated therein as provided in the guidelines issued by the GPPB.

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The bid security should be valid for the period specified in the BDS. Any bidnot accompanied by an acceptable bid security shall be rejected by theProcuring Entity as non-responsive.

No bid securities shall be returned to Bidders after the opening of bids andbefore contract signing, except to those that failed or declared as post-disqualified, upon submission of a written waiver of their right to file a requestfor reconsideration and/or protest, or upon the lapse of the reglementary periodto file a request for reconsideration or protest. Without prejudice on itsforfeiture, bid securities shall be returned only after the Bidder with theLowest Calculated Responsive Bid (LCRB) has signed the contract andfurnished the performance security, but in no case later than the expiration ofthe bid security validity period indicated in ITB Clause .

Upon signing and execution of the contract pursuant to ITB Clause....................1.8., and the posting of the performance security pursuant to ITBClause ....................1.13., the successful Bidder’s bid security will bedischarged, but in no case later than the bid security validity period asindicated in the ITB Clause .

The bid security may be forfeited:

()a if a Bidder:

()i withdraws its bid during the period of bid validity specified inITB Clause ....................1.12.;

()ii does not accept the correction of errors pursuant to ITB Clause....................1.35.()e;

()iii has a finding against the veracity of any of the documentssubmitted as stated in ITB Clause 29.2;

()iv submission of eligibility requirements containing falseinformation or falsified documents;

()v submission of bids that contain false information or falsifieddocuments, or the concealment of such information in the bids in order toinfluence the outcome of eligibility screening or any other stage of the publicbidding;

()vi allowing the use of one’s name, or using the name of anotherfor purposes of public bidding;

()vii withdrawal of a bid, or refusal to accept an award, or enter intocontract with the Government without justifiable cause, after the Bidder hadbeen adjudged as having submitted the LCRB;

()viii refusal or failure to post the required performance securitywithin the prescribed time;

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()ix refusal to clarify or validate in writing its bid during post-qualification within a period of seven (7) calendar days from receipt of therequest for clarification;

()x any documented attempt by a Bidder to unduly influence theoutcome of the bidding in his favor;

()xi failure of the potential joint venture partners to enter into thejoint venture after the bid is declared successful; or

()xii all other acts that tend to defeat the purpose of the competitivebidding, such as habitually withdrawing from bidding, submitting late Bids orpatently insufficient bid, for at least three (3) times within a year, except forvalid reasons.

()b if the successful Bidder:

()i fails to sign the contract in accordance with ITB Clause....................1.8.; or

()ii fails to furnish performance security in accordance with ITBClause ....................1.13..

....................1.2. Format and Signing of Bids

....................1.3. Bidders shall submit their bids through their dulyauthorized representative using the appropriate forms provided in SectionVIII. Bidding Forms on or before the deadline specified in the ITB Clauses....................1.13. in two (2) separate sealed bid envelopes, and which shall besubmitted simultaneously. The first shall contain the technical component ofthe bid, including the eligibility requirements under ITB Clause....................1.1., and the second shall contain the financial component of thebid. This shall also be observed for each lot in the case of lot procurement.

....................1.4. Forms as mentioned in ITB Clause ....................1.3.must be completed without any alterations to their format, and no substituteform shall be accepted. All blank spaces shall be filled in with the informationrequested.

....................1.5. The Bidder shall prepare and submit an original of thefirst and second envelopes as described in ITB Clauses ....................1.7. and....................1.2.. In addition, the Bidder shall submit copies of the first andsecond envelopes. In the event of any discrepancy between the original andthe copies, the original shall prevail.

....................1.6. Each and every page of the Bid Form, including theSchedule of Prices, under Section VIII hereof, shall be signed by the dulyauthorized representative/s of the Bidder. Failure to do so shall be a ground forthe rejection of the bid.

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....................1.7. Any interlineations, erasures, or overwriting shall bevalid only if they are signed or initialed by the duly authorized representative/sof the Bidder.

....................1.8. Sealing and Marking of Bids

....................1.9. Bidders shall enclose their original eligibility andtechnical documents described in ITB Clause ....................1.7. in one sealedenvelope marked “ORIGINAL - TECHNICAL COMPONENT”, and theoriginal of their financial component in another sealed envelope marked“ORIGINAL - FINANCIAL COMPONENT”, sealing them all in an outerenvelope marked “ORIGINAL BID”.

....................1.10. Each copy of the first and second envelopes shall besimilarly sealed duly marking the inner envelopes as “COPY NO. ___ -TECHNICAL COMPONENT” and “COPY NO. ___ – FINANCIALCOMPONENT” and the outer envelope as “COPY NO. ___”, respectively.These envelopes containing the original and the copies shall then be enclosedin one single envelope.

....................1.11. The original and the number of copies of the Bid asindicated in the BDS shall be typed or written in ink and shall be signed by theBidder or its duly authorized representative/s.

....................1.12. All envelopes shall:

()a contain the name of the contract to be bid in capital letters;

()b bear the name and address of the Bidder in capital letters;

()c be addressed to the Procuring Entity’s BAC in accordance with ITBClause ....................1.2.;

()d bear the specific identification of this bidding process indicated in theITB Clause ....................1.3.; and

()e bear a warning “DO NOT OPEN BEFORE…” the date and time forthe opening of bids, in accordance with ITB Clause ....................1.13..

()f Bid envelopes that are not properly sealed and marked, as required inthe bidding documents, shall not be rejected, but the Bidder or its dulyauthorized representative shall acknowledge such condition of the bid assubmitted. The BAC or the Procuring Entity shall assume no responsibility forthe misplacement of the contents of the improperly sealed or marked bid, orfor its premature opening.

4. Submission and Opening of Bids

....................1.13. Deadline for Submission of Bids

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Bids must be received by the Procuring Entity’s BAC at the address and on or beforethe date and time indicated in the BDS.

....................1.14. Late Bids

Any bid submitted after the deadline for submission and receipt of bids prescribed bythe Procuring Entity, pursuant to ITB Clause ....................1.13., shall be declared“Late” and shall not be accepted by the Procuring Entity. The BAC shall record in theminutes of bid submission and opening, the Bidder’s name, its representative and thetime the late bid was submitted.

....................1.15. Modification and Withdrawal of Bids

....................1.16. The Bidder may modify its bid after it has beensubmitted; provided that the modification is received by the Procuring Entityprior to the deadline prescribed for submission and receipt of bids. The Biddershall not be allowed to retrieve its original bid, but shall be allowed to submitanother bid equally sealed and properly identified in accordance with ITBClause 20, linked to its original bid marked as “TECHNICALMODIFICATION” or “FINANCIAL MODIFICATION” and stamped“received” by the BAC. Bid modifications received after the applicabledeadline shall not be considered and shall be returned to the Bidder unopened.

23.2 A Bidder may, through a Letter of Withdrawal, withdraw its bid after it hasbeen submitted, for valid and justifiable reason; provided that the Letter ofWithdrawal is received by the Procuring Entity prior to the deadline prescribedfor submission and receipt of bids. The Letter of Withdrawal must be executedby the duly authorized representative of the Bidder identified in the OmnibusSworn Statement, a copy of which should be attached to the letter.

....................1.18. Bids requested to be withdrawn in accordance with ITBClause ....................1.16. shall be returned unopened to the Bidders. A Bidder,who has acquired the bidding documents, may also express its intention not toparticipate in the bidding through a letter which should reach and be stampedby the BAC before the deadline for submission and receipt of bids. A Bidderthat withdraws its bid shall not be permitted to submit another bid, directly orindirectly, for the same contract.

....................1.19. No bid may be modified after the deadline forsubmission of bids. No bid may be withdrawn in the interval between thedeadline for submission of bids and the expiration of the period of bid validityspecified by the Bidder on the Financial Bid Form. Withdrawal of a bidduring this interval shall result in the forfeiture of the Bidder’s bid security,pursuant to ITB Clause , and the imposition of administrative, civil andcriminal sanctions as prescribed by RA 9184 and its IRR.

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....................1.20. Opening and Preliminary Examination ofBids

....................1.21. The BAC shall open the bids in public, immediatelyafter the deadline for the submission and receipt of bids, as specified in theBDS. In case the Bids cannot be opened as scheduled due to justifiablereasons, the BAC shall take custody of the Bids submitted and reschedule theopening of Bids on the next working day or at the soonest possible timethrough the issuance of a Notice of Postponement to be posted in thePhilGEPS website and the website of the Procuring Entity concerned.

....................1.22. Unless otherwise specified in the BDS, the BAC shallopen the first bid envelopes and determine each Bidder’s compliance with thedocuments prescribed in ITB Clause ....................1.7., using a non-discretionary “pass/fail” criterion. If a Bidder submits the required document,it shall be rated “passed” for that particular requirement. In this regard, bidsthat fail to include any requirement or are incomplete or patently insufficientshall be considered as “failed”. Otherwise, the BAC shall rate the said first bidenvelope as “passed”.

....................1.23. Unless otherwise specified in the BDS, immediatelyafter determining compliance with the requirements in the first envelope, theBAC shall forthwith open the second bid envelope of each remaining eligiblebidder whose first bid envelope was rated “passed”. The second envelope ofeach complying bidder shall be opened within the same day. In case one ormore of the requirements in the second envelope of a particular bid is missing,incomplete or patently insufficient, and/or if the submitted total bid priceexceeds the ABC unless otherwise provided in ITB Clause ....................1.3.()d, the BAC shall rate the bid concerned as “failed”. Only bids that aredetermined to contain all the bid requirements for both components shall berated “passed” and shall immediately be considered for evaluation andcomparison.

....................1.24. Letters of Withdrawal shall be read out and recordedduring bid opening, and the envelope containing the corresponding withdrawnbid shall be returned to the Bidder unopened.

....................1.25. All members of the BAC who are present during bidopening shall initial every page of the original copies of all bids received andopened.

....................1.26. In the case of an eligible foreign bidder as described inITB Clause ....................1.9., the following Class “A” Documents may besubstituted with the appropriate equivalent documents, if any, issued by thecountry of the foreign Bidder concerned, which shall likewise be uploaded andmaintained in the PhilGEPS in accordance with Section 8.5.2 of the IRR:

()a Registration certificate from the Securities and Exchange Commission(SEC), Department of Trade and Industry (DTI) for sole proprietorship, orCDA for cooperatives;

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()b Mayor’s/Business permit issued by the local government where theprincipal place of business of the bidder is located; and

()c Audited Financial Statements showing, among others, the prospectivebidder’s total and current assets and liabilities stamped “received” by theBureau of Internal Revenue or its duly accredited and authorizedinstitutions, for the preceding calendar year which should not be earlierthan two years from the date of bid submission.

()d Each partner of a joint venture agreement shall likewise submit therequirements in ITB Clause 12.1(a)(i). Submission of documents requiredunder ITB Clauses 12.1(a)(ii) to 12.1(a)(iii) by any of the joint venturepartners constitutes compliance.

()e The Procuring Entity shall prepare the minutes of the proceedings ofthe bid opening that shall include, as a minimum: (a) names of Bidders, theirbid price (per lot, if applicable, and/or including discount, if any), bid security,findings of preliminary examination, and whether there is a withdrawal ormodification; and (b) attendance sheet. The BAC members shall sign theabstract of bids as read.

24.8 The bidders or their duly authorized representatives may attend the opening ofbids. The BAC shall ensure the integrity, security, and confidentiality of allsubmitted bids. The Abstract of Bids as read and the minutes of the bidopening shall be made available to the public upon written request andpayment of a specified fee to recover cost of materials.

24.9 To ensure transparency and accurate representation of the bid submission, theBAC Secretariat shall notify in writing all bidders whose bids it has receivedthrough its PhilGEPS-registered physical address or official e-mail address.The notice shall be issued within seven (7) calendar days from the date of thebid opening.

5. Evaluation and Comparison of Bids

....................1.27. Process to be Confidential

....................1.28. Members of the BAC, including its staff and personnel,as well as its Secretariat and TWG, are prohibited from making or acceptingany kind of communication with any bidder regarding the evaluation of theirbids until the issuance of the Notice of Award, unless otherwise allowed in thecase of ITB Clause 26.

....................1.29. Any effort by a bidder to influence the Procuring Entityin the Procuring Entity’s decision in respect of bid evaluation, bid comparisonor contract award will result in the rejection of the Bidder’s bid.

....................1.30. Clarification of Bids

To assist in the evaluation, comparison, and post-qualification of the bids, theProcuring Entity may ask in writing any Bidder for a clarification of its bid. All

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responses to requests for clarification shall be in writing. Any clarification submittedby a Bidder in respect to its bid and that is not in response to a request by theProcuring Entity shall not be considered.

....................1.31. Domestic Preference

....................1.32. Unless otherwise stated in the BDS, the ProcuringEntity will grant a margin of preference for the purpose of comparison of bidsin accordance with the following:

()a The preference shall be applied when the lowest Foreign Bid is lowerthan the lowest bid offered by a Domestic Bidder.

()b For evaluation purposes, the lowest Foreign Bid shall be increased byfifteen percent (15%).

()c In the event that the lowest bid offered by a Domestic Bidder does notexceed the lowest Foreign Bid as increased, then the Procuring Entity shallaward the contract to the Domestic Bidder at the amount of the lowest ForeignBid.

()d If the Domestic Bidder refuses to accept the award of contract at theamount of the Foreign Bid within two (2) calendar days from receipt ofwritten advice from the BAC, the Procuring Entity shall award to the bidderoffering the Foreign Bid, subject to post-qualification and submission of allthe documentary requirements under these Bidding Documents.

()e A Bidder may be granted preference as a Domestic Bidder subject tothe certification from the DTI that the Bidder is offering unmanufacturedarticles, materials or supplies of the growth or production of the Philippines, ormanufactured articles, materials, or supplies manufactured or to bemanufactured in the Philippines substantially from articles, materials, orsupplies of the growth, production, or manufacture, as the case may be, of thePhilippines.

....................1.33. Detailed Evaluation and Comparison of Bids

....................1.34. The Procuring Entity will undertake the detailedevaluation and comparison of bids which have passed the opening andpreliminary examination of bids, pursuant to ITB Clause ....................1.20., inorder to determine the Lowest Calculated Bid.

....................1.35. The Lowest Calculated Bid shall be determined in twosteps:

()a The detailed evaluation of the financial component of the bids, toestablish the correct calculated prices of the bids; and

()b The ranking of the total bid prices as so calculated from the lowest tothe highest. The bid with the lowest price shall be identified as the LowestCalculated Bid.

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()c The Procuring Entity’s BAC shall immediately conduct a detailedevaluation of all bids rated “passed,” using non-discretionary pass/fail criteria.The BAC shall consider the following in the evaluation of bids:

()d Completeness of the bid. Unless the BDS allows partial bids, bids notaddressing or providing all of the required items in the Schedule ofRequirements including, where applicable, Schedule of Prices, shall beconsidered non-responsive and, thus, automatically disqualified. In this regard,where a required item is provided, but no price is indicated, the same shall beconsidered as non-responsive, but specifying a zero (0) or a dash (-) for thesaid item would mean that it is being offered for free to the Procuring Entity,except those required by law or regulations to be provided for; and

()e Arithmetical corrections. Consider computational errors and omissionsto enable proper comparison of all eligible bids. It may also consider bidmodifications. Any adjustment shall be calculated in monetary terms todetermine the calculated prices.

()f Based on the detailed evaluation of bids, those that comply with theabove-mentioned requirements shall be ranked in the ascending order of theirtotal calculated bid prices, as evaluated and corrected for computational errors,discounts and other modifications, to identify the Lowest Calculated Bid. Totalcalculated bid prices, as evaluated and corrected for computational errors,discounts and other modifications, which exceed the ABC shall not beconsidered, unless otherwise indicated in the BDS.

()g The Procuring Entity’s evaluation of bids shall be based on the bidprice quoted in the Bid Form, which includes the Schedule of Prices.

()h Bids shall be evaluated on an equal footing to ensure fair competition.For this purpose, all bidders shall be required to include in their bids the costof all taxes, such as, but not limited to, value added tax (VAT), income tax,local taxes, and other fiscal levies and duties which shall be itemized in the bidform and reflected in the detailed estimates. Such bids, including said taxes,shall be the basis for bid evaluation and comparison.

()i If so indicated pursuant to ITB Clause 1.2, Bids are being invited forindividual lots or for any combination thereof, provided that all Bids andcombinations of Bids shall be received by the same deadline and opened andevaluated simultaneously so as to determine the Bid or combination of Bidsoffering the lowest calculated cost to the Procuring Entity. Bid prices quotedshall correspond to all items specified for each lot and to all quantitiesspecified for each item of a lot. Bid Security as required by ITB Clause 18shall be submitted for each contract (lot) separately. The basis for evaluationof lots is specified in BDS Clause 28.3.

....................1.36. Post-Qualification

....................1.37. The BAC shall determine to its satisfaction whether theBidder that is evaluated as having submitted the Lowest Calculated Bidcomplies with and is responsive to all the requirements and conditions

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specified in ITB Clauses ....................1.9., ....................1.7., and....................1.2..

....................1.38. Within a non-extendible period of five (5) calendar daysfrom receipt by the bidder of the notice from the BAC that it submitted theLowest Calculated Bid, the Bidder shall submit its latest income and businesstax returns filed and paid through the BIR Electronic Filing and PaymentSystem (eFPS) and other appropriate licenses and permits required by law andstated in the BDS.

Failure to submit any of the post-qualification requirements on time, or afinding against the veracity thereof, shall disqualify the bidder for award.Provided in the event that a finding against the veracity of any of thedocuments submitted is made, it shall cause the forfeiture of the bid security inaccordance with Section 69 of the IRR of RA 9184.

The determination shall be based upon an examination of the documentaryevidence of the Bidder’s qualifications submitted pursuant to ITB Clauses....................1.7. and ....................1.2., as well as other information as theProcuring Entity deems necessary and appropriate, using a non-discretionary“pass/fail” criterion, which shall be completed within a period of twelve (12)calendar days.

If the BAC determines that the Bidder with the Lowest Calculated Bid passesall the criteria for post-qualification, it shall declare the said bid as the LCRB,and recommend to the HoPE the award of contract to the said Bidder at itssubmitted price or its calculated bid price, whichever is lower.

A negative determination shall result in rejection of the Bidder’s Bid, in whichevent the Procuring Entity shall proceed to the next Lowest Calculated Bidwith a fresh period to make a similar determination of that Bidder’scapabilities to perform satisfactorily. If the second Bidder, however, fails thepost qualification, the procedure for post qualification shall be repeated for theBidder with the next Lowest Calculated Bid, and so on until the LCRB isdetermined for recommendation for contract award.

Within a period not exceeding fifteen (15) calendar days from thedetermination by the BAC of the LCRB and the recommendation to award thecontract, the HoPE or his duly authorized representative shall approve ordisapprove the said recommendation.

In the event of disapproval, which shall be based on valid, reasonable, andjustifiable grounds as provided for under Section 41 of the IRR of RA 9184,the HoPE shall notify the BAC and the Bidder in writing of such decision andthe grounds for it. When applicable, the BAC shall conduct a post-qualification of the Bidder with the next Lowest Calculated Bid. A request forreconsideration may be filed by the bidder with the HoPE in accordance withSection 37.1.3 of the IRR of RA 9184.

....................1.1. Reservation Clause

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....................1.2. Notwithstanding the eligibility or post-qualification of aBidder, the Procuring Entity concerned reserves the right to review itsqualifications at any stage of the procurement process if it has reasonablegrounds to believe that a misrepresentation has been made by the said Bidder,or that there has been a change in the Bidder’s capability to undertake theproject from the time it submitted its eligibility requirements. Should suchreview uncover any misrepresentation made in the eligibility and biddingrequirements, statements or documents, or any changes in the situation of theBidder which will affect its capability to undertake the project so that it failsthe preset eligibility or bid evaluation criteria, the Procuring Entity shallconsider the said Bidder as ineligible and shall disqualify it from submitting abid or from obtaining an award or contract.

....................1.3. Based on the following grounds, the Procuring Entityreserves the right to reject any and all bids, declare a Failure of Bidding at anytime prior to the contract award, or not to award the contract, without therebyincurring any liability, and make no assurance that a contract shall be enteredinto as a result of the bidding:

()a If there is prima facie evidence of collusion between appropriate publicofficers or employees of the Procuring Entity, or between the BAC and any ofthe Bidders, or if the collusion is between or among the bidders themselves, orbetween a Bidder and a third party, including any act which restricts,suppresses or nullifies or tends to restrict, suppress or nullify competition;

()b If the Procuring Entity’s BAC is found to have failed in following theprescribed bidding procedures; or

()c For any justifiable and reasonable ground where the award of thecontract will not redound to the benefit of the GOP as follows:

()i If the physical and economic conditions have significantlychanged so as to render the project no longer economically, financially ortechnically feasible as determined by the HoPE;

()ii If the project is no longer necessary as determined by theHoPE; and

()iii If the source of funds for the project has been withheld orreduced through no fault of the Procuring Entity.

()iv In addition, the Procuring Entity may likewise declare a failureof bidding when:

()d No bids are received;

()e All prospective Bidders are declared ineligible;

()f All bids fail to comply with all the bid requirements or fail post-qualification; or

35

()g The bidder with the LCRB refuses, without justifiable cause to acceptthe award of contract, and no award is made in accordance withSection 40 of the IRR of RA 9184.

6. Award of Contract

....................1.4. Contract Award

....................1.5. Subject to ITB Clause ....................1.36., the HoPE orits duly authorized representative shall award the contract to the Bidder whosebid has been determined to be the LCRB.

....................1.6. Prior to the expiration of the period of bid validity, theProcuring Entity shall notify the successful Bidder in writing that its bid hasbeen accepted, through a Notice of Award duly received by the Bidder or itsrepresentative personally or sent by registered mail or electronically, receipt ofwhich must be confirmed in writing within two (2) days by the Bidder with theLCRB and submitted personally or sent by registered mail or electronically tothe Procuring Entity.

....................1.7. Notwithstanding the issuance of the Notice of Award,award of contract shall be subject to the following conditions:

()a Submission of the following documents within ten (10) calendar daysfrom receipt of the Notice of Award:

()i Valid JVA, if applicable; or

()ii In the case of procurement by a Philippine Foreign ServiceOffice or Post, the PhilGEPS Registration Number of the winning foreignBidder;

()b Posting of the performance security in accordance with ITB Clause....................1.13.;

()c Signing of the contract as provided in ITB Clause ....................1.8.;and

()d Approval by higher authority, if required, as provided in Section 37.3of the IRR of RA 9184.

()e At the time of contract award, the Procuring Entity shall not increaseor decrease the quantity of goods originally specified in Section VI. Scheduleof Requirements.

....................1.8. Signing of the Contract

....................1.9. At the same time as the Procuring Entity notifies thesuccessful Bidder that its bid has been accepted, the Procuring Entity shallsend the Contract Form to the Bidder, which contract has been provided in theBidding Documents, incorporating therein all agreements between the parties.

36

....................1.10. Within ten (10) calendar days from receipt of the Noticeof Award, the successful Bidder shall post the required performance security,sign and date the contract and return it to the Procuring Entity.

....................1.11. The Procuring Entity shall enter into contract with thesuccessful Bidder within the same ten (10) calendar day period provided thatall the documentary requirements are complied with.

....................1.12. The following documents shall form part of thecontract:

()a Contract Agreement;

()b Bidding Documents;

()c Winning bidder’s bid, including the Technical and Financial Proposals,and all other documents/statements submitted (e.g., bidder’s response torequest for clarifications on the bid), including corrections to the bid, if any,resulting from the Procuring Entity’s bid evaluation;

()d Performance Security;

()e Notice of Award of Contract; and

()f Other contract documents that may be required by existing laws and/orspecified in the BDS.

....................1.13. Performance Security

....................1.14. To guarantee the faithful performance by the winningBidder of its obligations under the contract, it shall post a performancesecurity within a maximum period of ten (10) calendar days from the receiptof the Notice of Award from the Procuring Entity and in no case later than thesigning of the contract.

....................1.15. The Performance Security shall be denominated inPhilippine Pesos and posted in favor of the Procuring Entity in an amount notless than the percentage of the total contract price in accordance with thefollowing schedule:

Form of Performance SecurityAmount of Performance Security

(Not less than the Percentage of theTotal Contract Price)

()a Cash orcashier’s/manager’s checkissued by a Universal orCommercial Bank.

For biddings conducted by theLGUs, the Cashier’s/Manager’sCheck may be issued by other

Five percent (5%)

37

banks certified by the BSP asauthorized to issue suchfinancial instrument.

()b Bankdraft/guarantee or irrevocableletter of credit issued by aUniversal or Commercial Bank:Provided, however, that it shallbe confirmed or authenticatedby a Universal or CommercialBank, if issued by a foreignbank.

For biddings conducted by theLGUs, the Bank Draft/Guarantee or Irrevocable Letterof Credit may be issued byother banks certified by the BSPas authorized to issue suchfinancial instrument.

()c Surety bondcallable upon demand issued bya surety or insurance companyduly certified by the InsuranceCommission as authorized toissue such security.

Thirty percent (30%)

Failure of the successful Bidder to comply with the above-mentionedrequirement shall constitute sufficient ground for the annulment of the awardand forfeiture of the bid security, in which event the Procuring Entity shallhave a fresh period to initiate and complete the post qualification of the secondLowest Calculated Bid. The procedure shall be repeated until the LCRB isidentified and selected for recommendation of contract award. However if noBidder passed post-qualification, the BAC shall declare the bidding a failureand conduct a re-bidding with re-advertisement, if necessary.

....................1.1. Notice to Proceed

Within seven (7) calendar days from the date of approval of the contract by theappropriate government approving authority, the Procuring Entity shall issue theNotice to Proceed (NTP) together with a copy or copies of the approved contract tothe successful Bidder. All notices called for by the terms of the contract shall beeffective only at the time of receipt thereof by the successful Bidder.

....................1.2. Protest Mechanism

Decisions of the procuring entity at any stage of the procurement process may bequestioned in accordance with Section 55 of the IRR of RA 9184.

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Section III. Bid Data Sheet

Notes on the Bid Data Sheet

Section III is intended to assist the Procuring Entity in providing the specific information inrelation to corresponding clauses in the ITB included in Section II, and has to be prepared foreach specific procurement.

The Procuring Entity should specify in the BDS information and requirements specific to thecircumstances of the Procuring Entity, the processing of the procurement, the applicable rulesregarding bid price and currency, and the bid evaluation criteria that will apply to the bids. Inpreparing Section III, the following aspects should be checked:

(a) Information that specifies and complements provisions of Section II must beincorporated.

(b) Amendments and/or supplements, if any, to provisions of Section II as necessitated bythe circumstances of the specific procurement, must also be incorporated.

For foreign-assisted projects, the Bid Data Sheet to be used is provided in Section IX-Foreign-Assisted Projects.

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Bid Data SheetITB Clause

...................

.1.2.The Procuring Entity is University of the Philippines Manila

The name of the Contract is Distribution Cabling and FOC Backbone fromPHI Dormitory to UP Manila Eight (8)­ Storey Student Dormitory

...................

.1.3.The lot(s) and reference is/are:

Not applicable

2 The Funding Source is: Five   Hundred   Seven   Thousand   Three   HundredSeventy Eight Pesos and Thirty­eight Centavos. (PhP507,378.38)

The Government of the Philippines (GOP) through RF in the amount of[insert amount of funds].

NOTE: In the case of National Government Agencies, the GeneralAppropriations Act and/or continuing appropriations; in the case ofGovernment-Owned and/or –Controlled Corporations, GovernmentFinancial Institutions, and State Universities and Colleges, the CorporateBudget for the contract approved by the governing Boards; in the case ofLocal Government Units, the Budget for the contract approved by therespective Sanggunian.

The name of the Project is:Distribution Cabling and FOC Backbone from PHIDormitory to UP Manila Eight (8)­ Storey Student Dormitory

...................

.1.6.No further instructions.

...................

.1.10.

...................

.1.10.()fNot applicable

...................

.1.10.()lSelect one, delete the other.

Maintain the ITB Clause and insert any of the following:

For procurement where the Procuring Entity has determined, after theconduct of market research, that imposition of the provisions of Section23.4.1.3 of the IRR of RA 9184 will likely result to failure of bidding ormonopoly that will defeat the purpose of public bidding: In view of thedetermination by the Procuring Entity that imposition of the provisions ofSection 23.4.1.3 of the IRR of RA 9184 will likely result to [State “failureof bidding” or “monopoly that will defeat the purpose of public bidding”],the Bidder should comply with the following requirements:

)a Completed at least two (2) similar contracts, the aggregate amount of

40

which should be equivalent to at least fifty percent (50of the ABC forthis Project; and

)b The largest of these similar contracts must be equivalent to at least halfof the percentage of the ABC as required above.

For this purpose, similar contracts shall refer to the supervision, supplies andequipment.

...................

.1.1.No further instructions.

...................

.1.3.Subcontracting is not allowed

...................

.1.4.Not applicable

...................

.1.7.The Procuring Entity will hold a pre-bid conference for this Project on

...................

.1.2.The Procuring Entity’s address is:

University of the Philippines Manila8th Floor, PGH Central Block BuildingTaft Avenue, Manila

...................

.1.1.(a)Additional instructions/requirements: For eligibility requirements: 

FoA. PhilGEPS Registration Requirement, please refer to GPPB Circular 07-2017 on deferment of the Implementation of the Mandatory Submission ofPhilGEPS Certificate of Registration and Membership particularly Section4.0.

ThB. Statement of the Bidder’s SLCC shall be supported by the Notice of Awardand/or Notice to Proceed, Project Owner’s Certificate of Final Acceptanceissued by the Owner other than the Contractor or the ConstructorsPerformance Evaluation System (CPES) Final Rating, which must be at leastsatisfactory. In case of contracts with the private sector, an equivalentdocument shall be submitted.

Note:   Checklist of bid documents will be provided as part of the biddingdocuments.  

12.1(a)(ii)....................1.3.

41

...................

.1.3.()b

13.1(c) Note:  Checklist of bid documents will be provided as part of the bidding documents.

...................

.1.3.()d15.4(a)(iv) Not applicable

...................

.1.9.()bNot applicable

...................

.1.11.()bNot applicable

16.3 ­same­

...................

.1.13.­same­

...................

.1.16.The bid security shall be in the form of a Bid Securing Declaration, or any ofthe following forms and amounts:

1. The amount of not less than 2% of the ABC, if bid security is in cash,cashier’s/manager’s check, bank draft/guarantee or irrevocable letter ofcredit; or

2. The amount of not less than 5% of ABC if bid security is in Surety Bond.

The bid security shall be valid until one hundred twenty (120) days after theopening of bids.

...................

.1.11.Each Bidder shall submit one (1) original and two (2) copies of the first andsecond components of its bid. Please refer to the additional instructions in thepreparation, marking and sealing of bid envelopes.

...................

.1.13.The address for submission of bids is :

Office of the Internal Audit8th Floor, PGH Central Block BuildingPhilippine General HospitalTaft Avenue, Manila

The deadline for submission of bids is 1:00 p.m. 29 January 2019

...................

.1.21.The place of bid opening is:

UP Manila Board Room8th Floor, PGH Central Block BuildingPhilippine General HospitalTaft Avenue, Manila

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The date and time of bid opening is 1:30 p.m. 29 January 2019

24.2 No further instructions.

24.3 No further instructions.

...................

.1.32.No further instructions.

...................

.1.35.()c (a)No further instructions.

...................

.1.35.()fNo further instructions.

29.2 No additional requirement.

...................

.1.12.()fList additional contract documents relevant to the Project that may berequired by existing laws and/or the Procuring Entity, or state “No additionalrequirement.”

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Section IV. General Conditions of Contract

Notes on the General Conditions of Contract

The GCC in Section IV, read in conjunction with the SCC in Section V and other documentslisted therein, should be a complete document expressing all the rights and obligations of theparties.

The GCC herein shall not be altered. Any changes and complementary information, whichmay be needed, shall be introduced only through the SCC in Section V.

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TABLE OF CONTENTS

1. DEFINITIONS 47

2. CORRUPT, FRAUDULENT, COLLUSIVE, AND COERCIVE

PRACTICES 48

3. INSPECTION AND AUDIT BY THE FUNDING SOURCE49

4. GOVERNING LAW AND LANGUAGE 49

5. NOTICES 49

6. SCOPE OF CONTRACT 50

7. SUBCONTRACTING 50

8. PROCURING ENTITY’S RESPONSIBILITIES 50

9. PRICES 50

10. PAYMENT 51

11. ADVANCE PAYMENT AND TERMS OF PAYMENT 51

12. TAXES AND DUTIES 52

13. PERFORMANCE SECURITY 52

14. USE OF CONTRACT DOCUMENTS AND INFORMATION

53

15. STANDARDS53

16. INSPECTION AND TESTS 53

17. WARRANTY 54

18. DELAYS IN THE SUPPLIER’S PERFORMANCE 55

19. LIQUIDATED DAMAGES 55

20. SETTLEMENT OF DISPUTES 55

21. LIABILITY OF THE SUPPLIER 56

22. FORCE MAJEURE 56

23. TERMINATION FOR DEFAULT 56

24. TERMINATION FOR INSOLVENCY 57

25. TERMINATION FOR CONVENIENCE 57

26. TERMINATION FOR UNLAWFUL ACTS 58

27. PROCEDURES FOR TERMINATION OF CONTRACTS 58

45

28. ASSIGNMENT OF RIGHTS 59

29. CONTRACT AMENDMENT 60

30. APPLICATION 60

46

.1 Definitions

.2 In this Contract, the following terms shall be interpreted as indicated:

()a “The Contract” means the agreement entered into between theProcuring Entity and the Supplier, as recorded in the Contract Form signed bythe parties, including all attachments and appendices thereto and alldocuments incorporated by reference therein.

()b “The Contract Price” means the price payable to the Supplier under theContract for the full and proper performance of its contractual obligations.

()c “The Goods” means all of the supplies, equipment, machinery, spareparts, other materials and/or general support services which the Supplier isrequired to provide to the Procuring Entity under the Contract.

()d “The Services” means those services ancillary to the supply of theGoods, such as transportation and insurance, and any other incidental services,such as installation, commissioning, provision of technical assistance, training,and other such obligations of the Supplier covered under the Contract.

()e “GCC” means the General Conditions of Contract contained in thisSection.

()f “SCC” means the Special Conditions of Contract.

()g “The Procuring Entity” means the organization purchasing the Goods,as named in the SCC.

()h “The Procuring Entity’s country” is the Philippines.

()i “The Supplier” means the individual contractor, manufacturerdistributor, or firm supplying/manufacturing the Goods and Services underthis Contract and named in the SCC.

()j The “Funding Source” means the organization named in the SCC.

()k “The Project Site,” where applicable, means the place or places namedin the SCC.

()l “Day” means calendar day.

()m The “Effective Date” of the contract will be the date of signing thecontract, however the Supplier shall commence performance of its obligationsonly upon receipt of the Notice to Proceed and copy of the approved contract.

()n “Verified Report” refers to the report submitted by the ImplementingUnit to the HoPE setting forth its findings as to the existence of grounds orcauses for termination and explicitly stating its recommendation for theissuance of a Notice to Terminate.

47

....................2.2. Corrupt, Fraudulent, Collusive, andCoercive Practices

....................2.3. Unless otherwise provided in the SCC, the ProcuringEntity as well as the bidders, contractors, or suppliers shall observe the higheststandard of ethics during the procurement and execution of this Contract. Inpursuance of this policy, the Procuring Entity:

()a defines, for the purposes of this provision, the terms set forth below asfollows:

()i "corrupt practice" means behavior on the part of officials in thepublic or private sectors by which they improperly and unlawfully enrichthemselves, others, or induce others to do so, by misusing the position inwhich they are placed, and it includes the offering, giving, receiving, orsoliciting of anything of value to influence the action of any such official inthe procurement process or in contract execution; entering, on behalf of theGovernment, into any contract or transaction manifestly and grosslydisadvantageous to the same, whether or not the public officer profited or willprofit thereby, and similar acts as provided in Republic Act 3019.

()ii "fraudulent practice" means a misrepresentation of facts inorder to influence a procurement process or the execution of a contract to thedetriment of the Procuring Entity, and includes collusive practices amongBidders (prior to or after bid submission) designed to establish bid prices atartificial, non-competitive levels and to deprive the Procuring Entity of thebenefits of free and open competition.

()iii “collusive practices” means a scheme or arrangement betweentwo or more Bidders, with or without the knowledge of the Procuring Entity,designed to establish bid prices at artificial, non-competitive levels.

()iv “coercive practices” means harming or threatening to harm,directly or indirectly, persons, or their property to influence their participationin a procurement process, or affect the execution of a contract;

()v “obstructive practice” is

(aa) deliberately destroying, falsifying, altering orconcealing of evidence material to an administrativeproceedings or investigation or making false statementsto investigators in order to materially impede anadministrative proceedings or investigation of theProcuring Entity or any foreign government/foreign orinternational financing institution into allegations of acorrupt, fraudulent, coercive or collusive practice;and/or threatening, harassing or intimidating any partyto prevent it from disclosing its knowledge of mattersrelevant to the administrative proceedings orinvestigation or from pursuing such proceedings orinvestigation; or

48

(bb) acts intended to materially impede the exercise of theinspection and audit rights of the Procuring Entity orany foreign government/foreign or internationalfinancing institution herein.

()b will reject a proposal for award if it determines that the Bidderrecommended for award has engaged in any of the practices mentioned in thisClause for purposes of competing for the contract.

()c Further the Funding Source, Borrower or Procuring Entity, asappropriate, will seek to impose the maximum civil, administrative and/orcriminal penalties available under the applicable law on individuals andorganizations deemed to be involved with any of the practices mentioned inGCC Clause ()a.

....................2.4. Inspection and Audit by the Funding Source

The Supplier shall permit the Funding Source to inspect the Supplier’s accounts andrecords relating to the performance of the Supplier and to have them audited byauditors appointed by the Funding Source, if so required by the Funding Source.

....................2.5. Governing Law and Language

....................2.6. This Contract shall be interpreted in accordance withthe laws of the Republic of the Philippines.

....................2.7. This Contract has been executed in the Englishlanguage, which shall be the binding and controlling language for all mattersrelating to the meaning or interpretation of this Contract. All correspondenceand other documents pertaining to this Contract exchanged by the parties shallbe written in English.

....................2.8. Notices

....................2.9. Any notice, request, or consent required or permitted tobe given or made pursuant to this Contract shall be in writing. Any suchnotice, request, or consent shall be deemed to have been given or made whenreceived by the concerned party, either in person or through an authorizedrepresentative of the Party to whom the communication is addressed, or whensent by registered mail, telex, telegram, or facsimile to such Party at theaddress specified in the SCC, which shall be effective when delivered andduly received or on the notice’s effective date, whichever is later.

....................2.10. A Party may change its address for notice hereunder bygiving the other Party notice of such change pursuant to the provisions listedin the SCC for GCC Clause ....................2.9..

....................2.11. Scope of Contract

49

....................2.12. The Goods and Related Services to be provided shall beas specified in Section VI. Schedule of Requirements.

....................2.13. This Contract shall include all such items, although notspecifically mentioned, that can be reasonably inferred as being required forits completion as if such items were expressly mentioned herein. Anyadditional requirements for the completion of this Contract shall be providedin the SCC.

....................2.14. Subcontracting

....................2.15. Subcontracting of any portion of the Goods, if allowedin the BDS, does not relieve the Supplier of any liability or obligation underthis Contract. The Supplier will be responsible for the acts, defaults, andnegligence of any subcontractor, its agents, servants or workmen as fully as ifthese were the Supplier’s own acts, defaults, or negligence, or those of itsagents, servants or workmen.

....................2.16. If subcontracting is allowed, the Supplier may identifyits subcontractor during contract implementation. Subcontractors disclosedand identified during the bidding may be changed during the implementationof this Contract. In either case, subcontractors must submit the documentaryrequirements under ITB Clause 12 and comply with the eligibility criteriaspecified in the BDS. In the event that any subcontractor is found by theProcuring Entity to be ineligible, the subcontracting of such portion of theGoods shall be disallowed.

....................2.17. Procuring Entity’s Responsibilities

....................2.18. Whenever the performance of the obligations in thisContract requires that the Supplier obtain permits, approvals, import, and otherlicenses from local public authorities, the Procuring Entity shall, if so neededby the Supplier, make its best effort to assist the Supplier in complying withsuch requirements in a timely and expeditious manner.

....................2.19. The Procuring Entity shall pay all costs involved in theperformance of its responsibilities in accordance with GCC Clause....................2.11..

....................2.20. Prices

....................2.21. For the given scope of work in this Contract asawarded, all bid prices are considered fixed prices, and therefore not subject toprice escalation during contract implementation, except under extraordinarycircumstances and upon prior approval of the GPPB in accordance withSection 61 of R.A. 9184 and its IRR or except as provided in this Clause.

....................2.22. Prices charged by the Supplier for Goods deliveredand/or services performed under this Contract shall not vary from the pricesquoted by the Supplier in its bid, with the exception of any change in price

50

resulting from a Change Order issued in accordance with GCC Clause....................2.84..

....................2.23. Payment

....................2.24. Payments shall be made only upon a certification by theHoPE to the effect that the Goods have been rendered or delivered inaccordance with the terms of this Contract and have been duly inspected andaccepted. Except with the prior approval of the President no payment shall bemade for services not yet rendered or for supplies and materials not yetdelivered under this Contract. Ten percent (10%) of the amount of eachpayment shall be retained by the Procuring Entity to cover the Supplier’swarranty obligations under this Contract as described in GCC Clause....................2.49..

....................2.25. The Supplier’s request(s) for payment shall be made tothe Procuring Entity in writing, accompanied by an invoice describing, asappropriate, the Goods delivered and/or Services performed, and bydocuments submitted pursuant to the SCC provision for GCC Clause....................2.13., and upon fulfillment of other obligations stipulated in thisContract.

....................2.26. Pursuant to GCC Clause ....................2.25., paymentsshall be made promptly by the Procuring Entity, but in no case later than sixty(60) days after submission of an invoice or claim by the Supplier. Paymentsshall be in accordance with the schedule stated in the SCC.

....................2.27. Unless otherwise provided in the SCC, the currency inwhich payment is made to the Supplier under this Contract shall be inPhilippine Pesos.

....................2.28. Unless otherwise provided in the SCC, payments usingLetter of Credit (LC), in accordance with the Guidelines issued by the GPPB,is allowed. For this purpose, the amount of provisional sum is indicated in theSCC. All charges for the opening of the LC and/or incidental expenses theretoshall be for the account of the Supplier.

....................2.29. Advance Payment and Terms of Payment

....................2.30. Advance payment shall be made only after priorapproval of the President, and shall not exceed fifteen percent (15%) of theContract amount, unless otherwise directed by the President or in casesallowed under Annex “D” of RA 9184.

....................2.31. All progress payments shall first be charged against theadvance payment until the latter has been fully exhausted.

....................2.32. For Goods supplied from abroad, unless otherwiseindicated in the SCC, the terms of payment shall be as follows:

51

()a On Contract Signature: Fifteen Percent (15%) of the Contract Priceshall be paid within sixty (60) days from signing of the Contract and uponsubmission of a claim and a bank guarantee for the equivalent amount validuntil the Goods are delivered and in the form provided in Section VIII.Bidding Forms.

()b On Delivery: Sixty-five percent (65%) of the Contract Price shall bepaid to the Supplier within sixty (60) days after the date of receipt of theGoods and upon submission of the documents (i) through (vi) specified in theSCC provision on Delivery and Documents.

()c On Acceptance: The remaining twenty percent (20%) of the ContractPrice shall be paid to the Supplier within sixty (60) days after the date ofsubmission of the acceptance and inspection certificate for the respectivedelivery issued by the Procuring Entity’s authorized representative. In theevent that no inspection or acceptance certificate is issued by the ProcuringEntity’s authorized representative within forty five (45) days of the date shownon the delivery receipt, the Supplier shall have the right to claim payment ofthe remaining twenty percent (20%) subject to the Procuring Entity’s ownverification of the reason(s) for the failure to issue documents (vii) and (viii)as described in the SCC provision on Delivery and Documents.

....................2.33. Taxes and Duties

The Supplier, whether local or foreign, shall be entirely responsible for all thenecessary taxes, stamp duties, license fees, and other such levies imposed for thecompletion of this Contract.

....................2.34. Performance Security

....................2.35. Within ten (10) calendar days from receipt of the Noticeof Award from the Procuring Entity but in no case later than the signing of thecontract by both parties, the successful Bidder shall furnish the performancesecurity in any the forms prescribed in the ITB Clause ....................1.15..

....................2.36. The performance security posted in favor of theProcuring Entity shall be forfeited in the event it is established that thewinning bidder is in default in any of its obligations under the contract.

....................2.37. The performance security shall remain valid untilissuance by the Procuring Entity of the Certificate of Final Acceptance.

....................2.38. The performance security may be released by theProcuring Entity and returned to the Supplier after the issuance of theCertificate of Final Acceptance subject to the following conditions:

()a There are no pending claims against the Supplier or the suretycompany filed by the Procuring Entity;

52

()b The Supplier has no pending claims for labor and materials filedagainst it; and

()c Other terms specified in the SCC.

()d In case of a reduction of the contract value, the Procuring Entity shallallow a proportional reduction in the original performance security, providedthat any such reduction is more than ten percent (10%) and that the aggregateof such reductions is not more than fifty percent (50%) of the originalperformance security.

....................2.39. Use of Contract Documents and Information

....................2.40. The Supplier shall not, except for purposes ofperforming the obligations in this Contract, without the Procuring Entity’sprior written consent, disclose this Contract, or any provision thereof, or anyspecification, plan, drawing, pattern, sample, or information furnished by oron behalf of the Procuring Entity. Any such disclosure shall be made inconfidence and shall extend only as far as may be necessary for purposes ofsuch performance.

....................2.41. Any document, other than this Contract itself,enumerated in GCC Clause ....................2.40. shall remain the property of theProcuring Entity and shall be returned (all copies) to the Procuring Entity oncompletion of the Supplier’s performance under this Contract if so required bythe Procuring Entity.

....................2.42. Standards

The Goods provided under this Contract shall conform to the standards mentioned inthe Section VII. ; and, when no applicable standard is mentioned, to the authoritativestandards appropriate to the Goods’ country of origin. Such standards shall be thelatest issued by the institution concerned.

....................2.43. Inspection and Tests

....................2.44. The Procuring Entity or its representative shall have theright to inspect and/or to test the Goods to confirm their conformity to theContract specifications at no extra cost to the Procuring Entity. The SCC andSection VII. shall specify what inspections and/or tests the Procuring Entityrequires and where they are to be conducted. The Procuring Entity shall notifythe Supplier in writing, in a timely manner, of the identity of anyrepresentatives retained for these purposes.

....................2.45. If applicable, the inspections and tests may beconducted on the premises of the Supplier or its subcontractor(s), at point ofdelivery, and/or at the goods’ final destination. If conducted on the premisesof the Supplier or its subcontractor(s), all reasonable facilities and assistance,including access to drawings and production data, shall be furnished to theinspectors at no charge to the Procuring Entity. The Supplier shall provide theProcuring Entity with results of such inspections and tests.

53

....................2.46. The Procuring Entity or its designated representativeshall be entitled to attend the tests and/or inspections referred to in this Clauseprovided that the Procuring Entity shall bear all of its own costs and expensesincurred in connection with such attendance including, but not limited to, alltraveling and board and lodging expenses.

....................2.47. The Procuring Entity may reject any Goods or any partthereof that fail to pass any test and/or inspection or do not conform to thespecifications. The Supplier shall either rectify or replace such rejected Goodsor parts thereof or make alterations necessary to meet the specifications at nocost to the Procuring Entity, and shall repeat the test and/or inspection, at nocost to the Procuring Entity, upon giving a notice pursuant to GCC Clause....................2.8..

....................2.48. The Supplier agrees that neither the execution of a testand/or inspection of the Goods or any part thereof, nor the attendance by theProcuring Entity or its representative, shall release the Supplier from anywarranties or other obligations under this Contract.

....................2.49. Warranty

....................2.50. The Supplier warrants that the Goods supplied under theContract are new, unused, of the most recent or current models, and that theyincorporate all recent improvements in design and materials, except when thetechnical specifications required by the Procuring Entity provides otherwise.

....................2.51. The Supplier further warrants that all Goods suppliedunder this Contract shall have no defect, arising from design, materials, orworkmanship or from any act or omission of the Supplier that may developunder normal use of the supplied Goods in the conditions prevailing in thecountry of final destination.

....................2.52. In order to assure that manufacturing defects shall becorrected by the Supplier, a warranty shall be required from the Supplier for aminimum period specified in the SCC. The obligation for the warranty shallbe covered by, at the Supplier’s option, either retention money in an amountequivalent to at least one percent (1%) of every progress payment, or a specialbank guarantee equivalent to at least one percent (1%) of the total ContractPrice or other such amount if so specified in the SCC. The said amounts shallonly be released after the lapse of the warranty period specified in the SCC;provided, however, that the Supplies delivered are free from patent and latentdefects and all the conditions imposed under this Contract have been fullymet.

....................2.53. The Procuring Entity shall promptly notify the Supplierin writing of any claims arising under this warranty. Upon receipt of suchnotice, the Supplier shall, within the period specified in the SCC and with allreasonable speed, repair or replace the defective Goods or parts thereof,without cost to the Procuring Entity.

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....................2.54. If the Supplier, having been notified, fails to remedy thedefect(s) within the period specified in GCC Clause ....................2.53., theProcuring Entity may proceed to take such remedial action as may benecessary, at the Supplier’s risk and expense and without prejudice to anyother rights which the Procuring Entity may have against the Supplier underthe Contract and under the applicable law.

....................2.55. Delays in the Supplier’s Performance

....................2.56. Delivery of the Goods and/or performance of Servicesshall be made by the Supplier in accordance with the time schedule prescribedby the Procuring Entity in Section VI. Schedule of Requirements.

....................2.57. If at any time during the performance of this Contract,the Supplier or its Subcontractor(s) should encounter conditions impedingtimely delivery of the Goods and/or performance of Services, the Suppliershall promptly notify the Procuring Entity in writing of the fact of the delay,its likely duration and its cause(s). As soon as practicable after receipt of theSupplier’s notice, and upon causes provided for under GCC Clause....................2.69., the Procuring Entity shall evaluate the situation and mayextend the Supplier’s time for performance, in which case the extension shallbe ratified by the parties by amendment of Contract.

....................2.58. Except as provided under GCC Clause

....................2.69., a delay by the Supplier in the performance of its obligationsshall render the Supplier liable to the imposition of liquidated damagespursuant to GCC Clause ....................2.59., unless an extension of time isagreed upon pursuant to GCC Clause ....................2.84. without theapplication of liquidated damages.

....................2.59. Liquidated Damages

Subject to GCC Clauses ....................2.55. and ....................2.69., if the Supplier failsto satisfactorily deliver any or all of the Goods and/or to perform the Services withinthe period(s) specified in this Contract inclusive of duly granted time extensions ifany, the Procuring Entity shall, without prejudice to its other remedies under thisContract and under the applicable law, deduct from the Contract Price, as liquidateddamages, the applicable rate of one tenth (1/10) of one (1) percent of the cost of theunperformed portion for every day of delay until actual delivery or performance. Themaximum deduction shall be ten percent (10%) of the amount of contract. Once themaximum is reached, the Procuring Entity may rescind or terminate the Contractpursuant to GCC Clause ....................2.73., without prejudice to other courses ofaction and remedies open to it.

....................2.60. Settlement of Disputes

....................2.61. If any dispute or difference of any kind whatsoevershall arise between the Procuring Entity and the Supplier in connection with orarising out of this Contract, the parties shall make every effort to resolveamicably such dispute or difference by mutual consultation.

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....................2.62. If after thirty (30) days, the parties have failed toresolve their dispute or difference by such mutual consultation, then either theProcuring Entity or the Supplier may give notice to the other party of itsintention to commence arbitration, as hereinafter provided, as to the matter indispute, and no arbitration in respect of this matter may be commenced unlesssuch notice is given.

....................2.63. Any dispute or difference in respect of which a notice ofintention to commence arbitration has been given in accordance with thisClause shall be settled by arbitration. Arbitration may be commenced prior toor after delivery of the Goods under this Contract.

....................2.64. In the case of a dispute between the Procuring Entityand the Supplier, the dispute shall be resolved in accordance with RepublicAct 9285 (“R.A. 9285”), otherwise known as the “Alternative DisputeResolution Act of 2004.”

....................2.65. Notwithstanding any reference to arbitration herein, theparties shall continue to perform their respective obligations under theContract unless they otherwise agree; and the Procuring Entity shall pay theSupplier any monies due the Supplier.

....................2.66. Liability of the Supplier

....................2.67. The Supplier’s liability under this Contract shall be asprovided by the laws of the Republic of the Philippines, subject to additionalprovisions, if any, set forth in the SCC.

....................2.68. Except in cases of criminal negligence or willfulmisconduct, and in the case of infringement of patent rights, if applicable, theaggregate liability of the Supplier to the Procuring Entity shall not exceed thetotal Contract Price, provided that this limitation shall not apply to the cost ofrepairing or replacing defective equipment.

....................2.69. Force Majeure

....................2.70. The Supplier shall not be liable for forfeiture of itsperformance security, liquidated damages, or termination for default if and tothe extent that the Supplier’s delay in performance or other failure to performits obligations under the Contract is the result of a force majeure.

....................2.71. For purposes of this Contract the terms “force majeure”and “fortuitous event” may be used interchangeably. In this regard, afortuitous event or force majeure shall be interpreted to mean an event whichthe Supplier could not have foreseen, or which though foreseen, wasinevitable. It shall not include ordinary unfavorable weather conditions; andany other cause the effects of which could have been avoided with the exerciseof reasonable diligence by the Supplier. Such events may include, but notlimited to, acts of the Procuring Entity in its sovereign capacity, wars orrevolutions, fires, floods, epidemics, quarantine restrictions, and freightembargoes.

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....................2.72. If a force majeure situation arises, the Supplier shallpromptly notify the Procuring Entity in writing of such condition and thecause thereof. Unless otherwise directed by the Procuring Entity in writing,the Supplier shall continue to perform its obligations under the Contract as faras is reasonably practical, and shall seek all reasonable alternative means forperformance not prevented by the force majeure.

....................2.73. Termination for Default

....................2.74. The Procuring Entity shall terminate this Contract fordefault when any of the following conditions attends its implementation:

()a Outside of force majeure, the Supplier fails to deliver or perform anyor all of the Goods within the period(s) specified in the contract, or within anyextension thereof granted by the Procuring Entity pursuant to a request madeby the Supplier prior to the delay, and such failure amounts to at least tenpercent (10%) of the contact price;

()b As a result of force majeure, the Supplier is unable to deliver orperform any or all of the Goods, amounting to at least ten percent (10%) of thecontract price, for a period of not less than sixty (60) calendar days afterreceipt of the notice from the Procuring Entity stating that the circumstance offorce majeure is deemed to have ceased; or

()c The Supplier fails to perform any other obligation under the Contract.

()d In the event the Procuring Entity terminates this Contract in whole orin part, for any of the reasons provided under GCC Clauses ....................2.73.to ....................2.79., the Procuring Entity may procure, upon such terms andin such manner as it deems appropriate, Goods or Services similar to thoseundelivered, and the Supplier shall be liable to the Procuring Entity for anyexcess costs for such similar Goods or Services. However, the Supplier shallcontinue performance of this Contract to the extent not terminated.

()e In case the delay in the delivery of the Goods and/or performance ofthe Services exceeds a time duration equivalent to ten percent (10%) of thespecified contract time plus any time extension duly granted to the Supplier,the Procuring Entity may terminate this Contract, forfeit the Supplier'sperformance security and award the same to a qualified Supplier.

....................2.75. Termination for Insolvency

The Procuring Entity shall terminate this Contract if the Supplier is declared bankruptor insolvent as determined with finality by a court of competent jurisdiction. In thisevent, termination will be without compensation to the Supplier, provided that suchtermination will not prejudice or affect any right of action or remedy which hasaccrued or will accrue thereafter to the Procuring Entity and/or the Supplier.

....................2.76. Termination for Convenience

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....................2.77. The Procuring Entity may terminate this Contract, inwhole or in part, at any time for its convenience. The HoPE may terminate acontract for the convenience of the Government if he has determined theexistence of conditions that make Project Implementation economically,financially or technically impractical and/or unnecessary, such as, but notlimited to, fortuitous event(s) or changes in law and national governmentpolicies.

....................2.78. The Goods that have been delivered and/or performedor are ready for delivery or performance within thirty (30) calendar days afterthe Supplier’s receipt of Notice to Terminate shall be accepted by theProcuring Entity at the contract terms and prices. For Goods not yetperformed and/or ready for delivery, the Procuring Entity may elect:

()a to have any portion delivered and/or performed and paid at the contractterms and prices; and/or

()b to cancel the remainder and pay to the Supplier an agreed amount forpartially completed and/or performed goods and for materials and partspreviously procured by the Supplier.

()c If the Supplier suffers loss in its initial performance of the terminatedcontract, such as purchase of raw materials for goods specially manufacturedfor the Procuring Entity which cannot be sold in open market, it shall beallowed to recover partially from this Contract, on a quantum meruit basis.Before recovery may be made, the fact of loss must be established under oathby the Supplier to the satisfaction of the Procuring Entity before recovery maybe made.

....................2.79. Termination for Unlawful Acts

....................2.80. The Procuring Entity may terminate this Contract incase it is determined prima facie that the Supplier has engaged, before orduring the implementation of this Contract, in unlawful deeds and behaviorsrelative to contract acquisition and implementation. Unlawful acts include,but are not limited to, the following:

()a Corrupt, fraudulent, and coercive practices as defined in ITB Clause....................1.6.()a;

()b Drawing up or using forged documents;

()c Using adulterated materials, means or methods, or engaging inproduction contrary to rules of science or the trade; and

()d Any other act analogous to the foregoing.

....................2.81. Procedures for Termination of Contracts

....................2.82. The following provisions shall govern the proceduresfor termination of this Contract:

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()a Upon receipt of a written report of acts or causes which may constituteground(s) for termination as aforementioned, or upon its own initiative, theImplementing Unit shall, within a period of seven (7) calendar days, verify theexistence of such ground(s) and cause the execution of a Verified Report, withall relevant evidence attached;

()b Upon recommendation by the Implementing Unit, the HoPE shallterminate this Contract only by a written notice to the Supplier conveying thetermination of this Contract. The notice shall state:

()i that this Contract is being terminated for any of the ground(s)afore-mentioned, and a statement of the acts that constitute the ground(s)constituting the same;

()ii the extent of termination, whether in whole or in part;

()iii an instruction to the Supplier to show cause as to why thisContract should not be terminated; and

()iv special instructions of the Procuring Entity, if any.

()c The Notice to Terminate shall be accompanied by a copy of theVerified Report;

()d Within a period of seven (7) calendar days from receipt of the Noticeof Termination, the Supplier shall submit to the HoPE a verified position paperstating why this Contract should not be terminated. If the Supplier fails toshow cause after the lapse of the seven (7) day period, either by inaction or bydefault, the HoPE shall issue an order terminating this Contract;

()e The Procuring Entity may, at any time before receipt of the Supplier’sverified position paper described in item (d) above withdraw the Notice toTerminate if it is determined that certain items or works subject of the noticehad been completed, delivered, or performed before the Supplier’s receipt ofthe notice;

()f Within a non-extendible period of ten (10) calendar days from receiptof the verified position paper, the HoPE shall decide whether or not toterminate this Contract. It shall serve a written notice to the Supplier of itsdecision and, unless otherwise provided, this Contract is deemed terminatedfrom receipt of the Supplier of the notice of decision. The termination shallonly be based on the ground(s) stated in the Notice to Terminate;

()g The HoPE may create a Contract Termination Review Committee(CTRC) to assist him in the discharge of this function. All decisionsrecommended by the CTRC shall be subject to the approval of the HoPE; and

()h The Supplier must serve a written notice to the Procuring Entity of itsintention to terminate the contract at least thirty (30) calendar days before itsintended termination. The Contract is deemed terminated if it is not resumedin thirty (30) calendar days after the receipt of such notice by the ProcuringEntity.

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....................2.83. Assignment of Rights

The Supplier shall not assign his rights or obligations under this Contract, in whole orin part, except with the Procuring Entity’s prior written consent.

....................2.84. Contract Amendment

Subject to applicable laws, no variation in or modification of the terms of thisContract shall be made except by written amendment signed by the parties.

....................2.85. Application

These General Conditions shall apply to the extent that they are not superseded byprovisions of other parts of this Contract.

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Section V. Special Conditions of Contract

Notes on the Special Conditions of Contract

Similar to the BDS, the clauses in this Section are intended to assist the Procuring Entity inproviding contract-specific information in relation to corresponding clauses in the GCC.

The provisions of this Section complement the GCC, specifying contractual requirementslinked to the special circumstances of the Procuring Entity, the Procuring Entity’s country, thesector, and the Goods purchased. In preparing this Section, the following aspects should bechecked:

(a) Information that complements provisions of Section IV must be incorporated.

(b) Amendments and/or supplements to provisions of Section IV, as necessitated bythe circumstances of the specific purchase, must also be incorporated.

However, no special condition which defeats or negates the general intent and purpose of theprovisions of Section IV should be incorporated herein.

For foreign-assisted projects, the Special Conditions of Contract to be used is provided inSection IX-Foreign-Assisted Projects.

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Special Conditions of ContractGCC Clause

....................2.1.()g

The Procuring Entity is the University of the Philippines Manila.

....................2.1.()i

The Supplier is [to be inserted at the time of contract award].

....................2.1.()j

The Funding Source is RF

the Government of the Philippines (GOP) through ReprogrammedFund.

NOTE: In the case of National Government Agencies, the GeneralAppropriations Act and/or continuing appropriations; in the case ofGovernment-Owned and/or –Controlled Corporations, GovernmentFinancial Institutions, and State Universities and Colleges, theCorporate Budget for the contract approved by the governing Boards;in the case of Local Government Units, the Budget for the contractapproved by the respective Sanggunian.

....................2.1.()k

The Project Site is described in the Terms of Reference

2.1 No further instructions.

....................2.9.

The Procuring Entity’s address for Notices is: Office of the Vice Chancellor for Administration8th Floor, PGH Central Block BuildingTaft Avenue, ManilaTel. No. 526-61-10Email address: ovca@up.edu.ph

The Supplier’s address for Notices is: [Insert address including, nameof contact, fax and telephone number]

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Section VI. Schedule of Requirements

The delivery schedule expressed as weeks/months stipulates hereafter a delivery date whichis the date of delivery to the project site.  

ItemNumber

Description Qty Total (ABC) DeliveredWeeks/Months

1Distribution Cabling and FOC Backbone from PHI Dormitory to UP Manila Eight (8)­ Storey Student Dormitory, IMS

1 Lot, (PhP507,378.38) 45 Calendar Days

********************* Nothing follows ****************

Section VII. Terms of Reference

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Section VIII. Bidding Forms

Notes on the Bidding Forms

The Bidder shall complete and submit with its Bid the Bid Form and Price Schedules inaccordance with ITB Clause ....................1.5. with the requirements of the BiddingDocuments and the format set out in this Section.

When requested in the BDS, the Bidder should provide the Bid Security, either in theform included hereafter or in another form acceptable to the Entity, pursuant to ITBClause ....................1.16..

The Contract Agreement Form, when it is finalized at the time of contract award, shouldincorporate any corrections or modifications to the accepted Bid resulting from pricecorrections. The Price Schedule and Schedule of Requirements deemed to form part ofthe contract should be modified accordingly.

The Performance Security Form and Bank Guarantee Form for Advance Paymentshould not be completed by the Bidders at the time of their Bid preparation. Only thesuccessful Bidder will be required to provide performance security and bank guarantee foradvance payment in accordance with one of the forms indicated herein or in another formacceptable to the Procuring Entity and pursuant to GCC Clause ....................2.34. and itscorresponding SCC provision.

The sworn affidavit must be completed by all Bidders in accordance with ITB Clause....................1.8.()h. Failure to do so and submit it with the bid shall result in the rejectionof the bid and the Bidder’s disqualification.

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TABLE OF CONTENTS

BID FORM 77

CONTRACT AGREEMENT FORM 78

OMNIBUS SWORN STATEMENT 80

BANK GUARANTEE FORM FOR ADVANCE PAYMENT 86

BID SECURING DECLARATION FORM ……………………………………………87

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Bid Form

Date: Invitation to Bid2 No:

To: [name and address of Procuring Entity]

Gentlemen and/or Ladies:

Having examined the Bidding Documents including Bid Bulletin Numbers [insertnumbers], the receipt of which is hereby duly acknowledged, we, the undersigned, offer to[supply/deliver/perform] [description of the Goods] in conformity with the said BiddingDocuments for the sum of [total Bid amount in words and figures] or such other sums as maybe ascertained in accordance with the Schedule of Prices attached herewith and made part ofthis Bid.

We undertake, if our Bid is accepted, to deliver the goods in accordance with thedelivery schedule specified in the Schedule of Requirements.

If our Bid is accepted, we undertake to provide a performance security in the form,amounts, and within the times specified in the Bidding Documents.

We agree to abide by this Bid for the Bid Validity Period specified in BDS provision forITB Clause and it shall remain binding upon us and may be accepted at any time before theexpiration of that period.

2

If ADB, JICA and WB funded projects, use IFB.

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Commissions or gratuities, if any, paid or to be paid by us to agents relating to this Bid,and to contract execution if we are awarded the contract, are listed below:3

Name and addressof agent

Amount and Currency

Purpose of Commission or gratuity

(if none, state “None”)

Until a formal Contract is prepared and executed, this Bid, together with your writtenacceptance thereof and your Notice of Award, shall be binding upon us.

We understand that you are not bound to accept the Lowest Calculated Bid or any Bidyou may receive.

We certify/confirm that we comply with the eligibility requirements as per ITB Clause....................1.9. of the Bidding Documents.

We likewise certify/confirm that the undersigned, [for sole proprietorships, insert: asthe owner and sole proprietor or authorized representative of Name of Bidder , has the fullpower and authority to participate, submit the bid, and to sign and execute the ensuingcontract, on the latter’s behalf for the Name of Project of the Name of the Procuring Entity][for partnerships, corporations, cooperatives, or joint ventures, insert: is granted full powerand authority by the Name of Bidder, to participate, submit the bid, and to sign and executethe ensuing contract on the latter’s behalf for Name of Project of the Name of the ProcuringEntity].

We acknowledge that failure to sign each and every page of this Bid Form, includingthe attached Schedule of Prices, shall be a ground for the rejection of our bid.

Dated this ________________ day of ________________ 20______.

[signature] [in the capacity of]

Duly authorized to sign Bid for and on behalf of ____________________________

3 Applicable only if the Funding Source is the ADB, JICA or WB.

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Contract Agreement Form

THIS AGREEMENT made the _____ day of __________ 20_____ between [name ofPROCURING ENTITY] of the Philippines (hereinafter called “the Entity”) of the one part and[name of Supplier] of [city and country of Supplier] (hereinafter called “the Supplier”) of theother part:

WHEREAS the Entity invited Bids for certain goods and ancillary services, viz.,[brief description of goods and services] and has accepted a Bid by the Supplier for thesupply of those goods and services in the sum of [contract price in words and figures](hereinafter called “the Contract Price”).

NOW THIS AGREEMENT WITNESSETH AS FOLLOWS:

1. In this Agreement words and expressions shall have the same meanings as arerespectively assigned to them in the Conditions of Contract referred to.

2. The following documents shall be deemed to form and be read and construed as partof this Agreement, viz.:

(a) the Supplier’s Bid, including the Technical and Financial Proposals, and allother documents/statements submitted (e.g. bidder’s response to clarificationson the bid), including corrections to the bid resulting from the ProcuringEntity’s bid evaluation;

(b) the Schedule of Requirements;(c) the Technical Specifications;(d) the General Conditions of Contract;(e) the Special Conditions of Contract; (f) the Performance Security; and(g) the Entity’s Notice of Award.

3. In consideration of the payments to be made by the Entity to the Supplier ashereinafter mentioned, the Supplier hereby covenants with the Entity to provide the goodsand services and to remedy defects therein in conformity in all respects with the provisions ofthe Contract

4. The Entity hereby covenants to pay the Supplier in consideration of the provision ofthe goods and services and the remedying of defects therein, the Contract Price or such othersum as may become payable under the provisions of the contract at the time and in themanner prescribed by the contract.

IN WITNESS whereof the parties hereto have caused this Agreement to be executedin accordance with the laws of the Republic of the Philippines on the day and year first abovewritten.

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Signed, sealed, delivered by the (for the Entity)

Signed, sealed, delivered by the (for the Supplier).

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Omnibus Sworn Statement

ATTACHED IS THE UPDATED FORMAT

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BID SECURING DECLARATION FORM

REPUBLIC OF THE PHILIPPINES)CITY OF _______________________) S.S.

x------------------------------------------------------x

BID SECURING DECLARATIONInvitation to Bid: [Insert Reference number]

To: [Insert name and address of the Procuring Entity]

I/We4, the undersigned, declare that:

1. I/We understand that, according to your conditions, bids must be supported bya Bid Security, which may be in the form of a Bid-Securing Declaration.

2. I/We accept that: (a) I/we will be automatically disqualified from bidding forany contract with any procuring entity for a period of two (2) years uponreceipt of your Blacklisting order; and, (b) I/we will pay the applicable fineprovided under Section 6 of the Guidelines on the Use of Bid SecuringDeclaration, within fifteen (15) days from receipt of the written demand by theprocuring entity for the commission of acts resulting to the enforcement of thebid securing declaration under Sections 23.1(b), 34.2, 40.1 and 69.1, except

4

Select one and delete the other. Adopt the same instruction for similar terms throughout the document.

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69.1(f), of the IRR of RA 9184; without prejudice to other legal action thegovernment may undertake.

3. I/We understand that this Bid Securing Declaration shall cease to be valid onthe following circumstances:

(a) Upon expiration of the bid validity period, or any extension thereofpursuant to your request;

(b) I am/we are declared ineligible or post-disqualified upon receipt ofyour notice to such effect, and (i) I/we failed to timely file a request forreconsideration or (ii) I/we filed a waiver to avail of said right;

(c) I am/we are declared the bidder with the Lowest CalculatedResponsive Bid, and I/we have furnished the performance security andsigned the Contract.

IN WITNESS WHEREOF, I/We have hereunto set my/our hand/s this ____ day of[month] [year] at [place of execution].

[Insert NAME OF BIDDER’S AUTHORIZED

REPRESENTATIVE] [Insert Signatory’s Legal Capacity]

Affiant

SUBSCRIBED AND SWORN to before me this ___ day of [month] [year] at [placeof execution], Philippines. Affiant/s is/are personally known to me and was/were identified byme through competent evidence of identity as defined in the 2004 Rules on Notarial Practice(A.M. No. 02-8-13-SC). Affiant/s exhibited to me his/her [insert type of governmentidentification card used], with his/her photograph and signature appearing thereon, with no.________ and his/her Community Tax Certificate No. _______ issued on ____ at ______.

Witness my hand and seal this ___ day of [month] [year].

NAME OF NOTARY PUBLICSerial No. of Commission _______________Notary Public for _______ until __________Roll of Attorneys No. __________________PTR No. ______ [date issued], [place issued]IBP No. ______ [date issued], [place issued]

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Doc. No. _____Page No. _____Book No. _____Series of _____

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